Bets on artificial intelligence companies have dominated the U.S. stock market over the past three years, driving 78% of its gains. Now, a growing number of investors are betting that this rally, led by “Tech Magnificent Seven,” is about to come to an end. Ed Yardeni, president and chief investment strategist at Yardeni Research, said, “I call it ‘AI fatigue.’I’m tired of it, and I suspect many others are also taking a cautious stance on the whole issue.” Although subtle, this shift has been ongoing since the S&P 500 hit a record high in late October and subsequently triggered a sell-off in November.Bloomberg’s “Magnificent Seven” index has fallen 2% from October 29 through Monday’s close, while the “S&P 493 Index” has risen 1.8%. Doug Peta, chief U.S. investment strategist at BCA Research, believes AI plays still have room to run, despite concerns that capital expenditures are unsustainable and valuations are already too high.Meanwhile, AI investors have become more selective. The previous one-size-fits-all pattern—where stocks rose simply for having any connection to AI—has now fractured, with former AI darlings like Oracle suffering heavy losses.