{
  "id": 12762050,
  "title": "Asian shares subdued, bonds swamped by AI debt wave",
  "url": "https://urgent.news/2026/10/08/asian-shares-subdued-bonds-swamped-by-ai-debt-wave",
  "topic": "finance",
  "section": "Finance & Markets",
  "published": "2026-10-08T01:12:59.000Z",
  "source": {
    "name": "Free Malaysia Today",
    "slug": "free-malaysia-today",
    "url": "https://www.freemalaysiatoday.com/category/business/2026/10/08/asian-shares-subdued-bonds-swamped-by-ai-debt-wave"
  },
  "original_language": "en",
  "account": "Asian equities fell on Thursday as sovereign bond markets faced strains due to tech companies seeking billions in debt, raising concerns about limited funding. Oil prices surged, adding pressure on Treasuries, yet US 10-year debt auctions buoyed yields, which climbed off 24-year peaks. The euro plunged to near 17-month lows as worries over France's finances extended to Italy and Greece. MSCI's Asia-Pacific index outside Japan declined 0.1%. S&P 500 and Nasdaq futures on Wall Street changed minimally, while EUROSTOXX 50, DAX, and FTSE futures edged up slightly after Wednesday's declines. SpaceX, Broadcom, and Oracle reportedly aimed to raise funds for AI chip purchases, with Broadcom targeting $50 billion in financing and SpaceX planning $30 billion in debt and $10 billion in loans for Nvidia chips. This prompted a surge in SpaceX's credit default insurance and a drop in its shares and bonds. Analyst Nigel Green cautioned of a perilous cycle where Nvidia funded its customers, potentially endangering global investors if profits didn't materialize. Green noted AI development transitioning from cash to credit, altering risk profiles. Debt must be repaid regardless of revenue, a fact that burdens bond funds and pension savings. Despite the corporate debt surge, AI-related industry earnings might benefit. Samsung Electronics forecast a 783% increase in Q3 operating profit to $80.17 billion, though shares slipped 0.3%. Sovereign bond markets are under strain due to inflation fears, widening deficits, and rising interest rates. Federal Reserve minutes showed most members expected another rate hike by year-end, with an 80% chance of a December hike. The 2-year Treasury yield stood at 4.78%, while 10-year yields rose to 5.298%, having peaked at 5.326% overnight. The French bond market's troubles prompted Bank of France head Emmanuel Moulin to acknowledge the country's dire economic situation but assure no ECB assistance was needed. The euro slid against the US dollar, reaching a 18-month peak of $1.1198, down 0.6% from the previous day. Brent futures climbed 0.9% to $101.14 a barrel, while US crude increased 0.8% to $89.02 a barrel. Gold, unaffected by interest, hovered near two-month lows at $4,105 an ounce.",
  "summary": "Sovereign bond market strains worsened as major tech firms reportedly sought billions in debt in direct competition for limited funding.",
  "key_points": [],
  "editors_take": null,
  "illustration": null,
  "coverage": {
    "outlets": 2,
    "also_reported_by": [
      {
        "outlet": "Free Malaysia Today",
        "title": "Asian shares subdued, bonds swamped by AI debt wave",
        "url": "https://urgent.news/2026/10/08/asian-shares-subdued-bonds-swamped-by-ai-debt-wave-12762481",
        "published": "2026-10-08T01:12:59.000Z"
      }
    ]
  },
  "ai_generated": true,
  "disclaimer": "Summaries, key points and the editor’s take are written by software from other outlets’ reporting and may contain errors — always check the linked original."
}