Summary:
- This article discusses how the rise of AI-powered trading and passive investing has created a new "bubble" in the stock market.
- It explains that the increased use of algorithms and automated trading systems has led to a situation where a large portion of the market is now driven by passive funds and ETFs, rather than active stock-picking.
- The article suggests that this has made the market more vulnerable to sudden shocks and volatility, as these passive funds and algorithms can amplify market movements in a way that was not seen before.