Authored by Charles Hugh Smith via OfTwoMinds blog,

The lines of dominoes being toppled run through every nook and cranny of the economy.

As we all know, the problem with euphoria is the inevitable collision with reality and the resulting disillusionment. But wait--it gets worse.

The new love of your life, your savior who is going to make everything right again, is not just impossibly flawed--they're a con artist. Now that really hurts. They not only stole your heart, they stole your money.

Which brings us to the AI Boom / Bubble. The euphoria is literally immeasurable, but the disconnect from reality is easily visible and can be broken down into measurable bits:

1. AI revenues are orders of magnitude lighter than the sums being invested (capex, i.e. capital investment). The euphoria is based on the idea that revenues will catch up, but the second date is raising doubts about Prince Charming's non-flim-flammed revenues and prospects.