Market Chatter: US High-Grade Bond Sales Set August Record as AI Spending Fuels Borrowing

MT Newswires Live
Aug 18

US investment-grade bond sales reached a record $145.2 billion in August, surpassing the previous monthly record of $136 billion set in 2020 as AI spending fuels corporate borrowing, Bloomberg reported Monday, citing data compiled by the news outlet.

The month's issuance has included Alphabet's $25 billion offering, AbbVie's $10 billion acquisition financing and HSBC's $6.75 billion offering, while Advanced Micro Devices raised $4.75 billion last week in its largest-ever dollar bond sale, the report said.

The issuance glut has made investors more selective about the debt they buy and the price they pay, Bloomberg said.

Another $9.1 billion was set to be raised Monday, while 2026 supply had reached $1.46 trillion, 8.5% above the comparable point in 2020, the report said.

(Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable sources but may include rumor and speculation. Accuracy is not guaranteed.)

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