Back to today’s briefing

Story perspectives

Powell: AI Surge Fuels Growth, But Caution Advised

10/30/2025

24 4

Summary

Story summary

Federal Reserve Chair Jerome Powell says the AI wave differs from the dotcom bubble.
He says it rests on profit-making firms and is driven by long-term assessments.
Powell notes data centers and semiconductors are fueling U.S. economic growth.
However, he cautions against calling the surge a permanent productivity revolution.
JPMorgan economists estimate AI infrastructure spending could add 0.2 percentage points to GDP over the next year.

1 of 1

Story summary

Federal Reserve Chair Jerome Powell says the AI wave differs from the dotcom bubble.
He says it rests on profit-making firms and is driven by long-term assessments.
Powell notes data centers and semiconductors are fueling U.S. economic growth.
However, he cautions against calling the surge a permanent productivity revolution.
JPMorgan economists estimate AI infrastructure spending could add 0.2 percentage points to GDP over the next year.