Peter Oppenheimer, chief global equity strategist at Goldman Sachs, has backed his August warning about a potential AI-driven earnings bubble in technology stocks with concrete data. Capital spending among AA-rated technology issuers surged 65% year-over-year in the second quarter, marking the tenth consecutive quarter of growth exceeding 35%. AI-related borrowers accounted for 44% of U.S. convertible bond issuance, totaling $135 billion year-to-date, while Goldman raised its full-year U.S. investment-grade bond issuance forecast by $200 billion to a record $2.3 trillion. These trends create, in his view, direct competition for the same pool of capital between companies building AI infrastructure and governments borrowing for infrastructure, energy and defense.
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