A paradox is developing on Wall Street: uncertainty around artificial intelligence's ability to deliver sky-high profits is thickening, yet AI bulls and bears alike are doubling down on their convictions. A record 82 per cent of respondents in the latest Bank of America fund manager survey think the AI trade is the most crowded, but roughly half still say we're not in a bubble. This could set the stage for a more volatile second half of the year as the second-quarter U.S. earnings season kicks off. Bulls argue trillions of dollars of AI-related capex will fuel growth and profit, while bears counter that the cost of the AI buildout has grown so high that companies cannot generate the lofty returns expected. Bank of America strategists showed a "generational transfer" of free cash flows from hyperscalers to chip companies, noting that the "Magnificent Seven" hyperscalers have spent USD 234 billion in capex this year but their stocks have barely risen, as investors anticipate these firms' free cash flow will turn negative for the first time in at least two decades.