Steel components at HCC, a company that uses parts to make combines, at a factory in Mendota, Ill., in this file photo. Vincent Alban/Reuters
Concerns that artificial intelligence (AI) could make traditional digital service models obsolete have accelerated a market rotation in 2026, with investors trimming exposure to enterprise software and other digital service firms and shifting into hard assets and low obsolescence stocks, including energy, materials, and industrial companies.
Some analysts say the shift reflects a broader market repricing that could reorder value across sectors and persist as structural economic challenges remain.
