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Pimco Says ‘Too Much, Too Fast’ AI Debt Is Stoking Bond Yields

Source: Bloomberg

Artificial IntelligenceCredit & Bond MarketsInterest Rates & YieldsInvestor Sentiment & PositioningBanking & Liquidity

PIMCO says the surge in debt financing for AI-related capex is “causing indigestion” in fixed-income markets and is currently fueling higher yields. While near-term pressure may persist, the firm argues the setup should still deliver decent longer-term returns for bond investors.

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