Yikes! The AI Data Center Build-Out Is Cannibalizing a $1 Trillion Catalyst That's Powered the Trump Bull Market Higher.

The Dow Jones Industrial Average, S&P 500, and Nasdaq Composite all recently hit new highs, fueled by the AI revolution and an estimated addressable market of $15.7 trillion by 2030.

Though AI is Wall Street's lead catalyst, share buybacks, which notably increased following the signing of Donald Trump's Tax Cuts and Jobs Act into law, have been instrumental in sending the stock market higher.

The AI data center build-out is siphoning away capital that would normally be used for share repurchases -- and this could have serious consequences for Wall Street.

Despite a volatile March, the stock market appears to be well on its way to another banner year. Last week, the ageless Dow Jones Industrial Average (DJINDICES: ^DJI) , broad-based S&P 500 (SNPINDEX: ^GSPC) , and innovation-inspired Nasdaq Composite (NASDAQINDEX: ^IXIC) all roared to record-closing highs -- an occurrence that's become commonplace under President Donald Trump.

The Dow, S&P 500, and Nasdaq Composite rallied 57%, 70%, and 142%, respectively, during Trump's first term , and they've gained 17%, 26%, and 37% since the president's second, non-consecutive term began on Jan. 20, 2025 (as of the closing bell on June 3, 2026).

Will AI create the world's first trillionaire? Our team just released a report on the one little-known company, called an "Indispensable Monopoly" providing the critical technology Nvidia and Intel both need. Continue »

President Trump delivering remarks. Image source: Official White House Photo by Daniel Torok.

At the heart of this rally is the artificial intelligence (AI) revolution. Empowering software and systems with the tools to make split-second, autonomous decisions is a $15.7 trillion addressable opportunity by 2030, according to PwC's analysts.