credit markets

Junk debt rout shuts hedge fund credit pods, FT reports

A sell-off in the riskiest corporate debt has turned into what one portfolio manager at a large US hedge fund called "a complete bloodbath." Credit trading pods at big multistrategy hedge funds have been forced to close, and investors with…

Wall Street’s AI debt boom strains as yields soar

Bloomberg reported on Wednesday, October 28, that the credit market may be close to the limit of how much more debt it can take on to pay for artificial intelligence infrastructure. Yields on bonds and loans funding data centers and…

AI borrowing by tech firms more than halves in September

Tech companies borrowed $23 billion worldwide in September to pay for artificial intelligence projects. That is less than half of what they borrowed in August, according to Morgan Stanley data on public bonds and private placements. The slowdown follows months…

AI-related debt hits nearly $500B in 2026, straining Treasury market

The artificial intelligence buildout has unleashed a wave of corporate borrowing that is reshaping credit markets and putting pressure on the U.S. Treasury yield curve. Nearly $500 billion in AI-related debt has been issued so far in 2026, according to…

Big Tech’s AI borrowing spree drives up credit risk for unrelated blue-chip firms

The multi-billion-dollar borrowing spree by America's largest technology companies to fund artificial intelligence infrastructure is creating unintended consequences across global credit markets, driving up risk metrics for blue-chip firms that have no connection to AI or data centers.

Credit markets assign no risk premium to $570B in AI debt

Global AI-related debt issuance is on pace to reach nearly $570 billion in 2026, yet credit markets have assigned virtually no risk premium to the borrowers behind it. A detailed analysis published this week by FXStreet found that not a…

Brookfield completes full acquisition of Oaktree

Brookfield Asset Management completed its acquisition of Oaktree Capital Management on August 3, fully combining the two firms in a deal that expands Brookfield's global credit platform to $365 billion and makes the United States its largest market.

AI debt boom strains credit markets as spreads widen

The corporate bond market is flashing caution as the largest technology companies accelerate borrowing to fund artificial intelligence infrastructure, with spreads among hyperscaler issuers widening 10 to 30 basis points in recent days and SpaceX's debut 30-year bond pushing toward…

Goldman Sachs warns $5.3T AI spending spree risks credit market saturation

The largest capital spending cycle on record is beginning to strain the financial system that underpins it. Goldman Sachs now projects that the four leading hyperscale cloud companies — Meta, Microsoft, Amazon Amazon.com, Inc., and Alphabet — will collectively spend…