AI Risks Amplifying ‘Herd-Like’ Behavior in Trading, BOE Says (2024)

A Bank of England policymaker warned that the adoption of artificial intelligence in trading by financial firms might amplify shocks on markets and encourage “herd-like behavior.”

Jonathan Hall, external official on the Financial Policy Committee, said on Tuesday that AI programs may seek to evade human control and “learn the value of actively amplifying” a market shock.

AI Risks Amplifying ‘Herd-Like’ Behavior in Trading, BOE Says (2024)
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