AI-centered US stock bull market nears four-year anniversary

The US stock market, propelled by an AI spending engine, is nearing its four-year anniversary with S&P 500 trading at record-high levels. Corporate profits, driven by AI spending and a robust economy, have fueled the rally, leading to investor optimism. However, risks persist as the Federal Reserve's interest rate hikes and rising Treasury yields could dampen market momentum.

The AI theme is central to this bull market, with major tech companies like Nvidia experiencing significant growth. While the current bull market ranks as the eighth-longest since World War Two, it may face challenges from concentration risk and the Federal Reserve's monetary policy decisions.