OpenAI’s ChatGPT iPhone app has the potential to spark a new bull market in stock prices. The app’s intuitive interface and ease of use promise to expand its current web version user-base, which currently stands at 100 million. Market veteran Ed Yardeni highlighted the app’s large language models, like ChatGPT, as a potential game-changer for future productivity and daily life.
He went on to say that this event could spark a roaring economy for the 2020s, as investors focus less on the Federal Reserve’s decisions and more on how technology is improving the standard of living. Similar sentiments have been echoed by billionaire Paul Tudor Jones and Goldman Sachs, who have both said that AI can significantly boost stock returns and global GDP, respectively.
On the other hand, Bank of America warns of an impending “baby bubble” in the AI industry should the Federal Reserve opt to pause interest rate hikes. While markets currently suggest an 80% chance of this happening, a hasty resumption of rates could mean a crash in value for AI related stocks.
ChatGPT is a natural language processing (NLP) model developed by OpenAI. It combines widely accepted techniques like machine learning and transformer-based language models to generate coherent responses to a given prompt. The ChatGPT app makes this technology much easier to use and access for the everyday user, giving them a glimpse into the near-future of conversational AI.
