Morgan Stanley warns that the AI boom may cool down, with Asian tech stocks like Taiwan Semiconductor facing the most severe test after the pandemic

Morgan Stanley warns that the AI boom may be cooling down, with Asian tech stocks like Taiwan Semiconductor facing a test. Investors are concerned about the sustainability of AI trading and potential tightening restrictions in the United States, leading to a sell-off in Asian tech stocks. Morgan Stanley advises investors to shift towards essential consumer goods, expecting the Fed to cut interest rates in September. Morgan Stanley has downgraded ratings for Asian and emerging market tech stocks, removing key stocks such as Taiwan Semiconductor. Global AI stocks like NVIDIA are also affected. While not completely abandoning tech stocks, Morgan Stanley believes chip stocks are overheated. Morgan Stanley has removed stocks like Taiwan Semiconductor, SK Hynix, and Tokyo Electron from its recommended list. The decline in these three stocks exceeds 2%