AI stocks could prove unprofitable in the future as money has already been made on them in the current rally, 40-year market veteran Jim Bianco says

• It's possible investors won't make any money on AI stocks in the future, according to Wall Street expert Jim Bianco. 
• "The money has already been made in the hope for what AI is going to be," Bianco told Fox Business. 
• On a separate note, he added Americans are likely seeing this year's lows in inflation right now. 

Artificial-intelligence stocks may prove unprofitable in the future as investors have already made money on them from this year's hyped-up rally, according to 40-year market veteran Jim Bianco. 

"What happens with these stocks is they discount the future. So AI could very well be the hype that we think, but you could very well be buying these AI stocks and in several years from now, wind up not making any money because the money has already been made in the hope for what AI is going to be," the president of Bianco Research said in an interview with Fox Business.

Bianco used the example of Amazon stock, which took many years to make a new high following a sharp fall in the late 1990s after founder Jeff Bezos unveiled his vision for a boom in online retailing. 

"That did happen. But if you bought the stock, it took you 12 years to make money," Bianco said of investors in Amazon stock.

This year has seen a surge in investor excitement over AI stocks, following the stunning debut of OpenAI's ChatGPT. It's seen investors pump money into popular tech stocks including Microsoft, Amazon and Nvidia, boosted company valuations, and inflated the wealth of several tech CEOs. 

Bianco's forecast of AI stocks is at odds with that of several industry bulls. For example, the AI revolution could send the stock market to record highs as it'll boost productivity levels, according to Goldman Sachs. 

Aside from AI, Bianco also commented on US inflation, saying price pressures are bottoming out right now. "We're seeing maybe the lows of the year right now," he said. Inflation has dropped from its mid-2022 highs, rising by 4.0% through May, thanks to the Federal Reserve's relentless interest rate hikes over the past year.