- CoreWeave shares fell 16% Wednesday while yields on its 9.625% bond due 2032 sat at 14.8%.
- Oracle shares dropped nearly 7% Wednesday, and yield to maturity on its 6.25% bond due Nov. 2032 reached 7.24%.
- The Nasdaq Composite lost 1.4% Wednesday, with Nebius down 9% and Dell down 10%.
- Wells Fargo Investment Institute strategist Luis Alvarado says investors now demand more risk compensation as easy money fades.
- JPMorgan estimates hyperscalers will spend $800 billion this year, rising above $1 trillion annually by 2027.
Quotes
“The era of easy money, which we experienced in the first nine months of the year, is starting to disappear and dissipate”
“how little extra lenders appear to charge for AI risk.”