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Tom Essaye Talks About The Legitimacy of These AI Fears with Yahoo Finance

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Tom Essaye Talks About The Legitimacy of These AI Fears with Yahoo Finance

AI scare: Citrini’s report is just a ‘thought experiment’ for now

Sevens Report Research founder Tom Essaye, Yahoo Finance Markets and Data Editor Jared Blikre, and Yahoo Finance Senior Reporter Ines Ferré assess the legitimacy of these AI fears as disruptions ripple across the software landscape. IBM (IBM) shares dropped yesterday while Wall Street investors adjust their price targets on Workday (WDAY).

So the whole AI enthusiasm, AI bull market has been driven on the idea that AI is going to make companies much more productive, right? Which means better margins and more earnings. But now, the thought is going beyond that. It’s saying, wait, it’s going to become so productive that we’re actually not even going to need all of these industries. And there won’t be jobs for people.

Also, click here to view the full video published on Yahoo Finance on February 24th, 2026. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

Sevens Report’s Essaye Warns Tech Investors on AI Uncertainty

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Tom Essaye says skepticism around the AI boom is rising and weakness shouldn’t be dismissed.

Tech Investors Urged to Exercise Caution

Sevens Report President Tom Essaye is cautioning technology investors as uncertainty builds around the sustainability of the artificial intelligence-driven rally that has defined the past three years.

While Essaye notes the Nasdaq has not yet fallen enough to threaten the broader market, he argues that skepticism surrounding AI is reaching levels not seen during this bull cycle. He warns against brushing off recent weakness as a routine pullback, saying there are legitimate questions emerging about whether the boom can maintain its current trajectory.

Those concerns were amplified after Cisco Systems signaled potential margin pressure tied to ongoing memory-chip shortages, sending its shares sharply lower. The reaction highlights how sensitive investors have become to signs that elevated spending and supply constraints could weigh on profitability.

In a recent note, Essaye outlined several key risks: whether companies can sustain heavy AI-related capital expenditures, how long investors will tolerate delayed earnings payoffs, whether AI could cannibalize existing tech segments, and whether infrastructure constraints — particularly around data centers — may limit growth.

Given this backdrop, Essaye suggests investors consider diversifying beyond mega-cap technology names. As volatility increases and skepticism grows, the once-dominant AI trade may face a more challenging environment than it has at any point in the current bull market.

Also, click here to view the full article published on Finance News Network on February 13th, 2026. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

Sevens Report: Tech Can Rally, but AI Dominance Is Uncertain

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Tom Essaye says software ETF IGV must stabilize before AI fears ease.

In a Broader Rally, Tech Can Still Win—But Maybe Not Dominate

Technology stocks may continue to participate in a broader market rally, but their dominance is no longer assured, according to Sevens Report President Tom Essaye.

Essaye says growing concerns that artificial intelligence could cannibalize parts of the software industry have created the most uncertain backdrop for the AI-driven bull market in three years. He points to the iShares Expanded Tech-Software Sector ETF (IGV) as a key barometer, arguing that the fund must stabilize before broader confidence in AI stocks can return.

In his view, IGV holding above last week’s low is critical. Without that technical support, skepticism surrounding AI spending, earnings sustainability, and lofty valuations could intensify. Essaye cautions investors against dismissing the recent weakness as routine volatility, noting that legitimate questions are emerging about whether expectations have outpaced reality.

That said, Sevens Report does not believe the outlook for AI and tech has turned outright negative. Major technology companies are still delivering earnings growth, but elevated expectations and aggressive capital-expenditure plans leave less room for error.

For investors seeking diversification, Essaye suggests looking beyond mega-cap tech to equal-weight, value, developed international, and low-volatility strategies. While tech can still win in a broader rally, its leadership may no longer be automatic.

Also, click here to view the full article published in Barron’s on February 12th, 2026. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

Sevens Report: 10-Year Yield Remains ‘Neutral’ for Stocks

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Tom Essaye says the 4.20% range keeps markets stable — for now.

10-Treasury yield rises, but remains in range seen as ‘neutral’ for stocks

Treasury yields were rising Monday morning, with the rate on the 10-year note reversing its decline from last week but still trading in a range that Sevens Report Research called “neutral” for the stock market.

“The 10-year Treasury yield has been well behaved through this recent stock market volatility and in the 4.20% range it remains neutral for markets generally speaking,” Tom Essaye, founder and president of Sevens Report Research, wrote in a note Monday. “That needs to continue, because a sudden plunge below 4.00% would signal growth concerns, while a jump above 4.50% would imply rising inflation risks and both would add incremental headwinds on stocks (and possibly bonds).”

Also, click here to view the full article published in MarketWatch on February 9th, 2026. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

Sevens Report: Gold and Silver Drop After Unsustainable Parabolic Run

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Tom Essaye says last month’s precious-metals surge broke under its own weight.

Gold, silver losses ease after ‘disturbing’ safe haven sell-off

Gold and silver prices stabilized Monday after a violent selloff that reversed a parabolic rally and caught many investors off guard. According to Sevens Report Research founder Tom Essaye, the breakdown was inevitable given how stretched prices had become.

Essaye said the speed and magnitude of last week’s gains left the precious metals market vulnerable to a sharp correction. Once selling began, momentum flipped quickly as traders recognized that the recent advance was detached from sustainable fundamentals.

While the move was dramatic, Sevens views it as a technical reset rather than a signal that the broader bullish case for precious metals is broken. The firm has consistently cautioned that steep, momentum-driven rallies often end abruptly once confidence cracks, especially in crowded trades.

From here, price stability and consolidation will be key in determining whether gold and silver can rebuild upside momentum or remain vulnerable to additional volatility.

Also, click here to view the full article published in Yahoo Finance on February 2nd, 2026. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

Sevens Report Warns Weaker Dollar Is Supercharging a Run-Hot Economy

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Sevens says Trump-linked dollar weakness is amplifying growth and inflation risks.

How Trump creates another ’run-hot’ influence on the economy

The latest Sevens Report argues that the U.S. economy is being pushed further into a “run-hot” phase as the dollar slides to multi-year lows. According to the firm, President Trump’s dismissal of recent dollar weakness effectively signaled tolerance — if not support — for further depreciation, accelerating trends already in place.

Sevens notes that fiscal stimulus, pressure for lower rates, deregulation, and efforts to pull in foreign capital have already tilted the economy toward overheating. A weaker currency compounds that backdrop by ensuring more liquidity is chasing a limited supply of goods and services, keeping inflation pressures elevated even as growth remains strong.

The report outlines three key transmission channels. First, a softer dollar raises import costs, lifting prices on consumer goods in an import-dependent economy. Second, it boosts earnings for multinational companies, helping explain recent outperformance in technology and consumer discretionary stocks. Third, it inflates the value of real assets such as gold, oil, and other commodities that cannot be diluted like fiat currencies.

Sevens cautions that the dollar’s roughly 11% decline over the past year is far from benign. While markets have absorbed the move so far, a faster slide toward the low 90s could unsettle investors and intensify the risk of sustained inflation alongside resilient growth.

Also, click here to view the full article published in Investing.com on January 29th, 2026. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

Tom Essaye Interviewed: Stock Market Is Making the Economy Look Better Than It Is

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Essaye warns that market resilience masks underlying economic softness heading into 2026.

The stock market is making the economy ‘look better’ than it is

Sevens Report Research founder, Tom Essaye, joins Opening Bid host Brian Sozzi to discuss the resilience of the stock market and what to keep an eye on heading into 2026.

Also, click here to view the full interview on Yahoo Finance published on November 4th, 2025. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

Tom Essaye Quoted In Barron’s – Two Threats Could Derail Market Rally

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Sevens Report president says stagflation or fading AI enthusiasm are key risks

2 Factors That Could Trigger a Stock Market Selloff

Despite recent economic surprises and geopolitical noise, none of it has slowed the market rally, according to Tom Essaye, president of Sevens Report Research.

“For the simple reason that they weren’t enough to make investors think that 1) tariffs may cause stagflation or 2) meaningfully reduce AI enthusiasm,” Essaye wrote.

He stressed that while conflicting inflation data, questions about data validity, and global tensions add uncertainty, investors should focus on whether developments increase stagflation risk or curb AI optimism.

“As long as the answer to both is ‘no,’ then while stocks may see some volatility, the trend in this market should remain higher,” Essaye concluded.

Also, click here to view the full article featured on Barron’s published on August 18th, 2025. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

Tom Essaye: Fading AI Enthusiasm Could Threaten Market Rally Despite Strong Economy

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Sevens Report warns that slowing momentum in AI stocks may weigh on equities even if growth remains resilient

10 AI Stocks Making Headlines This Week

Sevens Report founder Tom Essaye cautioned that a cooling wave of enthusiasm for AI stocks could spell trouble for the broader market. The note highlighted steep drops in C3.ai and CoreWeave following soft guidance and disappointing results.

“Those moves put a question in my head… What happens to this market if AI loses momentum?” Essaye wrote. While investors remain focused on tariffs, economic data, and Fed policy, the report warned that equities could falter even in a stable macro environment if AI names fail to deliver.

Five stocks — Nvidia, Microsoft, Meta, Broadcom, and Palantir — have powered 56% of the S&P 500’s 10.8% year-to-date gain, according to Sevens. Essaye stressed that execution will be critical as the AI trade matures. “If AI enthusiasm begins to fade, this market will face a headwind regardless of whether the economy is stable,” the report said.

Also, click here to view the full article on Insidermonkey.com published on August 16th, 2025. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.

AI Market Rally Shows Cracks as Semiconductors Lag S&P 500 – Tom Essaye

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Sevens Report founder warns of late-cycle risks amid slowing economic data

BofA Warns of Dotcom Bubble Vibes in S&P 500 Valuations

Bank of America analysts compared today’s valuations to the late-1990s dotcom bubble, and Sevens Report Research founder Tom Essaye echoed those concerns. He noted that the AI-driven rally may be masking underlying risks, particularly in semiconductors.

“The SOX index isn’t keeping pace with the S&P 500, and that’s a red flag,” Essaye said, pointing out that chip stocks are the backbone of AI innovation. “If semis can’t lead, then it calls into question the sustainability of this rally.”

Essaye also flagged weakening economic indicators, including soft job gains and rising jobless claims, as evidence that the U.S. may be entering a late-cycle phase. Together, those factors increase the risk that today’s market exuberance could mirror past bubbles.

Also, click here to view the full article on Ainvest.com published on August 15th, 2025. However, to see the Sevens Report’s full comments on the current market environment sign up here.

If you want research that comes with no long term commitment, yet provides independent, value added, plain English analysis of complex macro topics, then begin your Sevens Report subscription today by clicking here.

To strengthen your market knowledge take a free trial of The Sevens Report.

Join hundreds of advisors from huge brokerage firms like Morgan Stanley, Merrill Lynch, Wells Fargo Advisors, Raymond James, and more! To start your quarterly subscription and see how The Sevens Report can help you grow your business, click here.