Financial markets are in turmoil as America’s eight largest AI-linked stocks face their worst week since President Donald Trump rocked markets with “Liberation Day” tariffs. Together, nvidia, Microsoft, tsm, Amazon, Broadcom, Meta, Alphabet and Oracle have lost $1.2 trillion since last Friday as investors fret that these companies are overvalued.

• This means that while tech companies have driven U.S. stock market gains this year, investors may soon have to swallow a heavy dose of reality.

Tech bubbles have popped in the past, including railroads in the 1840s, automobiles in the 1900s, radio in the 1920s, television in the 1940s, transistor electronics in the 1950s, biotechnology in the 1980s, and the dotcom bubble in the 1990s. The result is often a period of recession and high unemployment.

Such a period of economic malaise could be particularly devastating this time around, considering the government cannot bail out companies or otherwise stimulate the economy without driving the national debt up to dangerous levels.

King Solomon warns, “A faithful man shall abound with blessings: but he that maketh haste to be rich shall not be innocent” (Proverbs 28:20). Today, many investors are hastening to be rich by investing in the hottest tech markets. This has caused a tech bubble.

• King Solomon also said, “Invest in seven ventures, yes, in eight; you do not know what disaster may come upon the land” (Ecclesiastes 11:2; New International Version).

Our free booklet Solve Your Money Troubles! advises people not to invest at all until they have paid off all high-interest debt and stashed away three to six months of emergency funds. After these two important goals have been met, further investments should be wisely allocated over several different investments, since “you do not know what disaster may come upon the land.”