Possible scenario
AI Repricing Continues
30% Chance
Investors conclude that the Korean selloff is part of a broader reset in AI hardware valuations after the prior rally became concentrated in memory and accelerator supply chains. Fundamentals remain solid, but multiples compress as traders challenge assumptions about AI capex, margins, and memory shortages.
Initial impacts
- Riskier companies' borrowing costs Up
- Market volatility Up
- 10-year Treasury yield Down
- Copper Down
Secondary impacts
- Technology -1.1%
- Industrials -0.3%
Portfolio impact
S&P 500-0.7%
Each figure is the modeled move of the S&P 500 if the outcome occurs. For information only. Not investment advice.
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