CDS spreads for artificial intelligence companies are rising, reflecting growing market caution about the debt incurred to finance data centers. Amazon, Alphabet, Microsoft, Oracle, and CoreWeave have seen their CDS spreads increase significantly. CDS activity linked to US tech companies has surged 90% since early September, signaling more aggressive hedging against credit risk. The market also prices in a 15% rise in perceived risk for OpenAI, with term structure highlighting specific periods of concern.
Source: Read the original article
Disclaimer: this content is for information purposes only and is not financial advice. Cryptocurrencies are highly volatile: you may lose all of your capital. Always do your own research. Legal notice
