Amazon Issues $25B in Bonds as Goldman Warns Clients to Hedge Against AI Debt Bubble Risks
By
Tyler Durden
Summary
The article reports that signs of a credit crunch are returning to the hyperscaler space, following previous shocks in late 2025 and March 2026 after the Iran war. Amazon is selling another $25 billion in bonds while Goldman Sachs advises clients to hedge against a potential AI debt bubble. Oracle stock has crashed nearly 50% from its June 2 highs, erasing all gains from the mania phase, highlighting the fragility of overleveraged AI plays in the current credit market environment.
Source
Twitter / XAmazon Issues $25B in Bonds as Goldman Warns Clients to Hedge Against AI Debt Bubble Riskszerohedge.comKey quotes
· 3 pulledDon't look now but the telltale signs of the credit crunch that hit the hyperscaler space in late 2025 and again in March 2026 after the Iran war broke out... are back.
Oracle stock, which has long been the poster child of overlevered AI plays, has not only erased all gains reached during the mania phase in May, down almost 50% from its June 2 highs
there are parts of the Credit Markets, currently at generational tights, that we think offer an asymmetric + convex overlay-hedge for macro or multi-asset portfolios for Risk-Off
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