AI Disruption Accelerates: Sectors from Real Estate to Trucking Face Uncertainty

Artificial intelligence (AI) continues to reshape the global economy, with sectors like real estate and trucking now feeling the brunt of its transformative power. The rapid pace of AI adoption is causing significant market shifts, as investors reassess the long-term viability of traditional business models.

Real Estate and Trucking Under Pressure

Office towers could soon be empty, according to tech mogul Elon Musk, who recently predicts that AI will replace many workers. This sentiment is echoed by Matt Shumer, co-founder and CEO of OtherSide AI, who argues that AI could eliminate entry-level, white-collar jobs, leading to fewer office leases being signed.

In the trucking and logistics sector, AI company Algorhythm Holdings releases a tool that claims to increase freight volumes by 300% to 400% without hiring more employees. This development sends trucking and logistics stocks plummeting, as investors worry about the future of labor-intensive business models.

Market Reactions and Valuations

Anthropic, an AI company, closes a $30 billion funding round, valuing the company at $380 billion. This valuation is more than double what it was in September, making it the second-largest private tech fundraising round on record, after OpenAI.

Meanwhile, Apple experiences its worst day since April, with its stock falling 5% on Thursday. Reports of delays with Siri and regulatory scrutiny over the company's news app contribute to the decline.

Economic Indicators and Market Performance

The U.S. consumer price index (CPI) for January is expected to show a 2.5% gain from a year ago, according to the Dow Jones consensus forecast. Major U.S. benchmarks retreat, with the S&P 500 falling 1.57%, the Dow Jones Industrial Average losing 1.34%, and the Nasdaq Composite slumping 2.03%.

JPMorgan Chase predicts that the S&P 500 could lose as much as 2.5% or jump 1.7% depending on the core month-on-month CPI numbers.

Global AI Initiatives

Japan's SoftBank adds $4.2 billion in value to its OpenAI investment, boosting its Vision Fund by $2.4 billion in the December quarter. In Singapore, Prime Minister Lawrence Wong announces the launch of a 'national AI council' and support for firms that want to harness AI. Citizens who undergo select courses will also receive six months of free access to advanced AI tools.

Legal and Regulatory Challenges

CK Hutchinson Holdings announces it will take 'legal recourse' against APM Terminals, an affiliate of Danish shipping giant Maersk, if it takes over its operations at the Balboa or Cristobal ports in Panama. A CK Hutchinson subsidiary currently runs those ports, but Panama's Supreme Court recently voids the firm's license, a move seen as a victory for the Trump administration.

References

• CNBC Daily Open: AI is coming after more sectors, and its pace isn't slowing