Silver Rises Over 120% YTD 
The market fallout from DeepSeek’s disruptive AI announcement is raising concerns among top Wall Street strategists about potential broader economic impacts.
Citi’s analysis team, led by Adam Pickett, points to increasingly “frothy” U.S. equity markets and warns that the current tech selloff could significantly impact consumer wealth, noting that a record 58% of American households now hold stocks.
The connection between market performance and consumer spending is particularly concerning, with their research showing that a 1% S&P 500 movement correlates to a 0.3% change in household financial assets. This situation is further complicated by Bridgewater founder Ray Dalio’s observation that AI excitement has created bubble-like conditions similar to the late 1990s, with high valuations coinciding with interest rate risks.
Adding to the market uncertainty, President Trump’s aggressive tariff rhetoric is strengthening the dollar, potentially creating additional headwinds for the economy.
