At the beginning of 2026, global financial markets are underestimating one of the risks — a new surge in inflation linked to large-scale investments in artificial intelligence, Reuters reports.
In 2025, stock markets in the US, Europe, and Asia hit record highs amid excitement around AI and expectations of monetary policy easing. Just seven of the largest technology companies accounted for about half of the total gains in the US stock market.
However, for 2026, investors are increasingly talking about the risk of accelerating inflation, which could force central banks to stop cutting rates or even return to raising them. This, in turn, could hit overvalued AI assets.
According to Royal London Asset Management, it is precisely tighter monetary policy that could “burst the bubble” in the technology market. It does not rule out a global inflationary surge by the end of 2026.
Analysts cite the large-scale construction of data centers by tech giants Microsoft, Meta, and Alphabet as one of the key inflationary factors.
These projects increase demand for electricity and advanced semiconductors, which is already leading to higher costs.
Morgan Stanley strategists note that chip and electricity prices are rising rather than falling, which will support inflation. According to its estimates, inflation in the US will remain above the Federal Reserve’s 2% target at least until the end of 2027, partly due to business investment in AI.
In its forecast for 2026, Aviva Investors also named the risk of an end to the cycle of rate cuts or rate hikes as one of the main risks for markets, against the backdrop of investments in AI and stimulus programs in Europe and Japan.
Oracle shares fell sharply after reporting a surge in capital expenditures, while Broadcom warned of pressure on margins. HP expects prices to rise and profitability to decline in the second half of 2026 due to the rising cost of memory for data centers.
Deutsche Bank predicts that by 2030, investment in AI data centers could reach $4 trillion, creating a shortage of chips and electricity and further fueling inflation.