RBA governor: AI could be a bubble and is not yet lifting Australia's productivity

Reserve Bank of Australia governor Michele Bullock said AI may be a bubble and there is no evidence it is making the economy more efficient, with adoption and datacentre investment adding to inflation instead. She said central banks are watching the risk of a messy slump in tech valuations.

• Bullock: no evidence yet that AI is boosting economic efficiency
• AI adoption and datacentres are adding to inflation, not growth
• Bank of Korea research: AI users produce same output in 1.5 fewer hours a week
• Traders see over 90% odds of a rate rise from 4.35% to 4.6%