What happened
Wall Street is on track to have its best year ever, with the securities industry in New York expected to surpass last year's record profits. According to a report from New York State Comptroller Thomas DiNapoli, Wall Street firms made $45.9 billion in the first half of 2026, already exceeding the expected earnings for the entire year.
The surge in profits is attributed to the growth of artificial intelligence infrastructure, increased deal-making, and high trading volumes despite market volatility. Virtually every major Wall Street revenue stream saw gains, with underwriting experiencing particularly strong growth.
Meanwhile, many Americans are struggling with soaring household debt, which has reached a record $18.8 trillion in the first quarter of 2026. Credit card debt has surpassed $1 trillion, and delinquencies have climbed to levels not seen since the Great Recession.
The contrast between Wall Street's boom and the financial struggles of many Americans is stark. As companies invest heavily in AI and other technologies, households are relying increasingly on borrowed money to make ends meet.
The spending on AI has also led to a surge in venture capital investment, with $407 billion invested in AI companies in the first half of 2026. Big Tech companies are borrowing heavily to finance their AI projects, with Amazon, Google, and Meta competing with governments for investors' cash.
