According to The Kobeissi Letter, IT equipment and software investment has risen to a record 4.5% of US GDP, surpassing the previous peak from Q4 2000 (source: The Kobeissi Letter). The share is up by 1.5 percentage points since Q3 2023 (source: The Kobeissi Letter). Since Q3 2023, nominal IT equipment and software investment has increased by $288 billion (source: The Kobeissi Letter). These confirmed figures highlight accelerating AI-driven capital expenditure, providing traders a concrete macro gauge to track in upcoming GDP updates (source: The Kobeissi Letter).

According to @KobeissiLetter, US technology firms’ CapEx-to-Sales ratio has reached 11%, the highest since 2000, rising by 4 percentage points since 2022. According to @KobeissiLetter, the CapEx-to-Free Cash Flow ratio is about 38%, the highest since 2022, compared with roughly 60% in the late 1990s. According to @KobeissiLetter, this indicates tech companies are funding most capital expenditures with free cash flow rather than debt, reflecting solid financial health. According to @KobeissiLetter, the AI investment boom has room to run, a signal traders can use to frame positioning in AI-linked equities and to monitor AI-themed crypto tokens as capital spending trends evolve.