What could save the markets from AI Armageddon? Populist backlash — and it’s already started.

MarketWatch

by Barbara Kollmeyer

February 24, 2026

AI-Generated Deep Dive Summary

The stock markets may be saved from the chaos caused by AI disruption through a growing populist backlash against technology, according to Jefferies strategists. This movement, which is already gaining momentum, could help calm investor fears and bolster market confidence. The backlash includes rising protests against data centers and increasing political criticism of AI's impact on jobs and society. Recent events highlight the power of public sentiment in influencing financial markets. A viral Substack post has sparked significant attention, with some investors growing jittery about the long-term effects of AI advancements. Meanwhile, tech companies like Anthropic are preparing to release new products that could further shake up the industry, adding to market uncertainty. Strategists argue that a strong public reaction against AI's rapid adoption is needed to counteract the current wave of fear and speculation. This backlash could lead to stricter regulations or slower implementation of AI technologies, providing a much-needed stabilizing force for markets. The mounting protests and political pushback suggest that such a movement is already underway. For finance professionals and investors, understanding this dynamic is crucial. The interplay between technological progress and public sentiment can have significant implications for market trends. While AI continues to disrupt industries, the emerging backlash offers a potential lifeline for financial stability—highlighting how societal reactions can shape economic outcomes in unexpected ways.

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Originally published on MarketWatch on 2/24/2026