Nasdaq Hits Record High as Ray Dalio Warns of AI Market Bubble

Key Facts

1The Nasdaq Composite closed at a second straight record high, driven by the Meta Muse rally.

2Bridgewater founder Ray Dalio warned that AI is a bubble that could have devastating effects despite its productivity-enhancing potential.

Amidst a period of intense momentum for U.S. technology equities, the Nasdaq Composite closed at a record high for the second consecutive session. According to reports, this upward trajectory was primarily fueled by a rally in Meta Muse, highlighting continued investor appetite for AI-linked assets. However, Bridgewater founder Ray Dalio has issued a cautionary note, warning that AI represents a bubble that could have devastating effects despite its potential to enhance productivity.

This price action reflects a divergence between market momentum and institutional caution. Per market data, NDAQ closed at $94.5 (close September 22, 2026), having traded between a day low of $93.47 and a high of $95.24. These figures underscore the current volatility as retail traders weigh the record-breaking performance of the index against high-profile warnings regarding the sustainability of the current trend.

Looking ahead, market participants will likely monitor NDAQ support and resistance levels around the $93.47 and $95.24 range established on September 22, 2026. With no major upcoming catalysts listed in the immediate economic calendar, sentiment is expected to be driven by the continued performance of AI-sector leaders and the market's reaction to institutional bubble warnings.