Big Banks Cash In on the AI Stock Boom

The race for artificial intelligence creates huge winners on Wall Street. A small group of giant banks controls this gold rush. Goldman Sachs and JPMorgan lead the pack alongside Morgan Stanley.

These three giants made 52 billion dollars in stock trading revenue this year. That haul equals about 80 percent of the entire market. They earn their money by lending cash to hedge funds that buy tech shares.

Big trading firms want to bet on computer chips and software. They need deep pockets to fund those bets. The largest banks provide the money and collect steady fees.

Everyday investors can follow these giant money flows. Massive lending shows strong faith in tech companies. When the biggest lenders stay confident, the broader market often finds support.

Source: CNBC