Amazon just issued bonds and the market barely shrugged. That's telling you something.
We're not talking about a sketchy company here — this is Amazon. But investors are getting tired. Governments are selling record amounts of debt. Corporates are issuing. And now the AI hyperscalers are flooding the market like never before.
Over $300 billion from hyperscalers alone this year. Double last year's pace. And it's accelerating.
At some point, there's only so much money to go around. Bond investors aren't infinite. When demand can't keep up with supply, prices fall and yields rise — even for the best names.
This isn't a crisis. It's just math. But if you're assuming endless cheap capital for Big Tech's AI buildout, you might want to reconsider. The market is starting to push back.
We're not talking about a sketchy company here — this is Amazon. But investors are getting tired. Governments are selling record amounts of debt. Corporates are issuing. And now the AI hyperscalers are flooding the market like never before.
Over $300 billion from hyperscalers alone this year. Double last year's pace. And it's accelerating.
At some point, there's only so much money to go around. Bond investors aren't infinite. When demand can't keep up with supply, prices fall and yields rise — even for the best names.
This isn't a crisis. It's just math. But if you're assuming endless cheap capital for Big Tech's AI buildout, you might want to reconsider. The market is starting to push back.