Norway Sovereign Wealth Fund CEO: AI Partially Offsets Energy Inflation, Boosting Market Resilience

BlockBeats News, April 28th - CEO of Norway's Sovereign Wealth Fund, Nicolai Tangen, stated that the arrival of the artificial intelligence era is helping mitigate some of the inflationary impact caused by the Middle East conflict-induced surge in energy prices, assisting the market in absorbing the shock.

Tangen said in an interview on Tuesday: "This is striking because given the current situation in the Middle East, you would expect this to transmit into higher energy prices, higher fuel prices, higher fertilizer prices." He noted, "To some extent, this has already started impacting Asia. We expect it to transmit through price increases to Europe and the United States. This is usually detrimental to the market. But the market is indeed handling it well."

Tangen expressed surprise at the lack of significant dislocation in the financial markets. "Inflation is typically a factor that hits the market. This is something we must closely monitor. On the other hand, we have AI, which we believe has a deflationary effect. I think this is precisely the factor that the market is currently digesting." (Jinse)