Big Tech's Debt Surge: A New Investment Landscape

Big tech companies like Amazon, Google, Meta, Microsoft, and Oracle are significantly increasing their debt to fund operations, with a staggering $121 billion issued this year alone. This shift in financial strategy has impacted the market, widening the difference between their bond yields and the overall market. Oracles debt, for example, is now trading almost half a percentage point higher than the rest of the market. The surge in debt supply has made the spreads for these hyperscalers significantly wider, making the investment landscape for tech stocks more complex.The Daily News Now! — Every city. Every story. AI-powered. Hosted on Acast. See acast.com/privacy for more information.