"We're in October 1999. The market will gain another 40%, and then crash so hard it'll take your breath away." Paul Tudor Jones, a frontrunner among legendary macro traders, billionaire, and founder of Tudor Investment Corp, made a resonant statement about the current state of markets and the AI ​​bubble. Legendary investor Paul Tudor Jones laid out the basics on CNBC's Squawk Box. While retail investors wonder if it's too late to enter the tech sector, the billionaire stated bluntly: we're in the final, craziest stage of the bubble. A 1999 analogy: According to Jones, the current multiples and euphoria surrounding AI are a dead ringer for the fall of 1999-four to five months before the historic dot-com crash. 40% headroom: The rally isn't over yet. The AI ​​bull market has the potential to last another 1-2 years. The market capitalization-to-GDP ratio in the US could reach an abnormal 300-350% (versus 140% in 2000), after which a "stunning correction" will occur. "AI is the greatest challenge in history": Jones calls artificial intelligence the most significant technological shift since the advent of the PC in 1981 and the internet in 1995. He himself is actively buying AI assets, but doing so exclusively in broad baskets rather than individual stocks, maintaining strict risk controls. Fed Rates and Politics: When asked by the hosts whether potential Fed Chair candidate Kevin Warsh would be able to quickly cut interest rates, Jones responded curtly: "There's zero chance of a cut." The huge budget deficit and the tech giants' massive capital investments in the energy grid will leave the regulator with no room to maneuver. Smart money doesn't try to short a locomotive while it's still in full swing. It's possible and necessary to profit during the final stages of a parabolic rally, but holding these positions long-term without a hedge is suicidal. Jones is boarding the train, but he already has his hand on the emergency brake.