New Delhi, Oct. 18 -- Artificial intelligence could remain a transformative technology while triggering a significant market correction if productivity gains fail to keep pace with investment, Peter Berezin, Chief Global Macro Strategist at BCA Research, said during a discussion on the global macroeconomic and cross-asset outlook with brokerage firm Emkay Global.

Berezin remains constructive on AI's long-term potential but sees growing risks from overcapacity, margin compression and the possibility that the investment cycle eventually turns, with implications for equities, bonds, currencies and commodities.

"The core risk is financial and about timing, rather than AI failing technologically," Berezin argued, warning that the returns fro...