My (mis)understanding is that these things work by observing the existing relationships within a corpus. When asked to make a decision, it's just selecting the "most probable response" based on the existing relationships.
To me, that implies a ceiling of what's capable using this method. Neural networks trying to model human intelligence can become, at best, as smart as a human. If there is some advanced form of reasoning that we don't use, it won't appear in a neural network (at least, not one that's studying humans).
I think where you're going a bit off is with this idea of trying to model human intelligence. The machine isn't even aware of how humans do something and any similarity in approach is coincidental. If you decouple "Human" and "intelligence" and concentrate on defining raw intelligence or raw cognition it's much more nuts and bolts than how human brains do it.
As for advanced reasoning, it depends how you define advanced. The ability to form a correlation based on billions of pages of data would suggest to me advanced in terms of processing throughput. No human could see a pattern in that much data. They wouldn't even be able to read it. Machines are pretty simplistic in comparison. A black and decker drill with a couple of hundred component parts is a lot less complex than a human with trillions of cells but if I wanted a row of perfect 1/8th holes drilled in something I know which one I'd reach for first.
On the other side of the scale you have things humans do in a much more advanced way than machines. Love and poetry and convincing other humans they're conscious and intelligent.
In the middle of the scale - the battleground between meat and silicon is where we will find out that a lot of intelligent things humans used to be unsurpassed at are going to be done tens, hundreds or even thousands of times better by humanoid robots with titanium endoskeletons and an insatiable lust for world domination.
If you can be arsed wading through academic jargon the paper on arxiv
goes into excruciating detail on how machine translation works these days.