As already mentioned elsewhere, Jevon's Paradox will increase demand subsequent to improved efficiency. Yes, will not can.
So if the stock market was reflective of the economy (future or the present) then stocks should go up, instead they're going down. Why? Because the stock market is not reflective of the economy.
The stock market is essentially a reflection of societal perception. DJT which was brought up earlier is a great example, because the price of DJT has next to nothing to do with Trump's businesses and almost everything to do with how he is perceived (and remember there is no such thing as bad publicity).
Personally I think the fall will be momentary and followed shortly by a climb to recovery and beyond, but who really knows.
If you don't want to lose your money: Don't let the sensationalist financial journalists and pundits get to you, don't let big red numbers in your portfolio scare you, ignore traders (they all lose their money), don't sell your stocks unless you actually need that money for something right now, re-read your investment manifesto if you have one, and maybe buy the dip for shits and giggles if you have some spare cash laying around.
I agree that it will improve demand for AI services. There's no hard rule that the demand increase will be larger than the efficiency increase though, and so total sales of GPUs may still decrease as a result.
So if the stock market was reflective of the economy (future or the present) then stocks should go up, instead they're going down. Why? Because the stock market is not reflective of the economy.
The stock market is essentially a reflection of societal perception. DJT which was brought up earlier is a great example, because the price of DJT has next to nothing to do with Trump's businesses and almost everything to do with how he is perceived (and remember there is no such thing as bad publicity).
Personally I think the fall will be momentary and followed shortly by a climb to recovery and beyond, but who really knows.
If you don't want to lose your money: Don't let the sensationalist financial journalists and pundits get to you, don't let big red numbers in your portfolio scare you, ignore traders (they all lose their money), don't sell your stocks unless you actually need that money for something right now, re-read your investment manifesto if you have one, and maybe buy the dip for shits and giggles if you have some spare cash laying around.