Peter Schiff says AI stocks bubble burst has likely happened amid SpaceX selloff
Peter Schiff, chief economist and global strategist at Europac, has warned that the AI stocks bubble burst is at hand amid the ongoing selloff in Space Exploration Technologies Corp. (NASDAQ: SPCX) shares. Schiff believes Artificial Intelligence (AI) is not a bubble. However, he noted that the AI stocks bubble has ‘likely already popped’, according to an X post on July 20, which Finbold analyzed on July 21. “AI isnt a bubble, but AI stocks are. The bubble has likely already popped,” Schiff noted. Schiff noted that the ongoing SpaceX stock selloff could be a leading indicator of the ongoing AI stocks bubble burst. Furthermore, he argued that AI stocks in the United States are facing intense competition from low-cost Chinese AI models led by Moonshot AIs Kimi K3 and DeepSeek Chat. “SpaceX closed under $120, near the low of the day. Thats more than 11% below the IPO price. The chart is not looking good,” Schiff added in a follow-up post. Which AI stocks are good to buy in 2026? As Schiff believes that AI is not a bubble but AI stocks are, AI stocks that are aligned with enterprise spending and mainstream adoption of technology are well positioned to benefit. For instance, despite Micron Technology,