AI borrowing slows sharply
According to Morgan Stanley data, global AI-related borrowing fell from a $113 billion peak in June to $23 billion in September.
Investment-grade US technology companies borrowed approximately $306 billion between January and August, while AI-related investment-grade bond issuance came to a halt in September.
Global AI-related borrowing reached $466 billion in the first nine months of 2026. The slowdown reflected heavy borrowing earlier in the year and growing investor caution about financing risks.
Persistently high financing costs could pressure data center investment and Nasdaq stocks, although Morgan Stanley expects borrowing activity to recover in the fourth quarter.
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