By Bronwyn Allen
Publication Date: 2025-11-21 04:02:00
The S&P/ASX 200 Index (ASX:
Despite the decline, the ASX 200 is still expensive, according to Blackwattle Investment Partners.
The ASX 200 trades at a price-to-earnings (P/E) ratio of 21x, compared to its 10-year average of around 16x.
Excitement over the artificial intelligence (AI) revolution has certainly helped boost global markets this year, including the ASX 200.
Are we at risk of bladder problems?
Is AI a bubble?
At the time of writing, the market is down 2.3% this week, driven by global concerns over high technology valuations and ongoing economic uncertainty, particularly in the US where speculation about the next move in interest rates is changing daily.
This uncertainty hit ASX 200 technology stocks hard this week, with the sector losing 3.62%. Financial stocks are also down 2.85% so far this week.
Some investors fear that the hype around AI is creating a bubble.
US tech stock…
