Citadel Securities says risk assets are likely to face turbulence as the Federal Reserve moves closer to a potential interest-rate hiking cycle. In the firm’s assessment, the shift in monetary policy would affect valuations and investor positioning, making riskier segments of the market more vulnerable. The outlook also reflects changes in how investors evaluate economic prospects tied to technology—particularly artificial intelligence. Citadel Securities notes that investors are becoming more selective about AI’s economic impact, which could influence sentiment toward companies and sectors viewed as most exposed to AI-related themes. Together, the firm frames higher-rate risk and increased scrutiny of AI’s real-world effects as key factors that may contribute to market volatility. While the reports describe the same broad warning from Citadel Securities, they do not provide additional quantitative details, policy timing, or specific asset classes expected to be most affected.