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Hedge Funds Suffer Losses From AI Selloff

Global hedge funds faced steep losses this week driven by a sharp unwind of AI bets and rising inflation concerns. Asia-focused managers experienced the heaviest declines.

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FILE PHOTO: "AI Artificial Intelligence" words, a keyboard and a robotics hand in this illustration taken, September 23, 2026. REUTERS/Dado Ruvic/Illustration/File Photo

Global hedge funds sustained a 2.9% drop over the week ending October 15, driven by an aggressive retreat in artificial intelligence holdings.
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