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SF Fed president warns AI demand could prolong energy shock

Original: SF Fed president: AI demand could extend energy shock

The president of the Federal Reserve Bank of San Francisco said booming electricity demand from artificial intelligence could prolong the current energy shock. Her comments link the AI data-center buildout and its semiconductor appetite to sustained pressure on energy prices, a concern for policymakers weighing inflation risks.

Why now: AI's surging energy needs are raising concerns about inflation and power supply among policymakers.

Federal Reserve Bank of San FranciscoFederal Reserveartificial intelligence

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