Sebastien Page on AI Trade Volatility and Demand Trends

Sebastien Page of T. Rowe Price joins to discuss the market bubble debate and the AI trade. He shares his disagreement with the traditional valuation view and provides insights on volatility, leverage, and demand trends in the AI sector.

■ Market and AI Trade Outlook
- Debate on whether the market is in a bubble
- Core Weave and credit market distress signals
- Volatility in the AI trade due to increased leverage
- Optimistic fundamental outlook for the next 6-12 months

■ Demand and Adoption Metrics
- Token spend up 700% year-over-year
- Token demand up 18x as costs decrease
- 20% of enterprises have at least one agentic process, with estimates reaching 80%

For investors and market watchers, this interview offers a perspective on the factors driving the AI trade, including demand acceleration and enterprise adoption. Viewers will gain an understanding of the current volatility and the fundamental signals supporting the trade.