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Bond market anxiety rises as AI capex plans spook lenders

Credit spreads have widened for companies tied to AI investment themes, signaling fixed income investors are demanding more compensation for lending risk.

Reported · Written up by our desk · Corporate Bonds

CNBC Markets reports that anxiety is building in bond markets as investors react to rising AI related capital expenditure plans.

The outlet said fixed income investors are increasingly requiring more reward to hold bonds from companies they lend to, with credit spreads moving wider for companies such as Google, Amazon, and Meta.

The widening spreads suggest lenders are reassessing risk for issuers tied to the current AI investment cycle, even as those companies continue budgeting for expansion.

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