Topic: Global Recession

Apollo Global Management chief economist Torsten Slok warns that a delay in the financial payoff from AI investments could trigger an economic recession. The stock market's current valuation relies on the net present value of future cash flows from AI, and there is growing concern that revenues for "hyperscalers" are not materializing fast enough to justify massive infrastructure spending.

The Federal Reserve's commitment to "quantitative easing infinity" has failed to dampen the global demand for US dollars. As emerging markets face a recipe for disaster due to the pandemic and recession, the "thirst for dollars" continues because the currency is fundamental to international loans, debt, and oil transactions. The hosts clarify the historical meaning of the term "greenback" while discussing current market liquidity.