Christopher Wood, a strategist at Jefferies, has issued a warning regarding the sustainability of the recent AI-driven rally in global technology stocks. Despite strong AI-related spending, Wood highlights risks including rising bond yields, crowded investor positioning, and the impact of upcoming mega initial public offerings (IPOs). These factors raise concerns about stock valuations, liquidity shifts, and uncertain returns, potentially leading to increased volatility and a near-term correction in technology markets. This outlook is particularly relevant for investors monitoring the evolving dynamics in the technology sector amid changing macroeconomic conditions. Jefferies strategist Christopher Wood has warned that the AI-driven stock rally may face a near-term correction amid rising bond yields, crowded positioning and upcoming mega IPOs.