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[Panic over AI financing boom reaches new highs, Intel, Amazon and other bond default protection costs soar] October 31 (Xinhua) -- The cost of debt default insurance for many U.S. technology giants hit a new high on Friday. The disappointing quarterly results of Intel and Amazon heightened market concerns about whether the AI financing boom will ultimately pay off. According to data from ICE Data Services, the cost of default protection for Intel's five-year bonds soared by 22.4 basis points in early trading on Friday to 127.9 basis points per year, setting records for both the single-day increase and the absolute level. Broadcom's default protection costs also hit a new high, while AMD rose to their highest since early 2019. Amazon's metric also hit a record high, rising 6.9 basis points to 94 basis points annually. The company had previously announced higher-than-expected capital expenditures and the slowest growth in its core e-commerce business in three years. Risk indicators for other hyperscale cloud providers such as Microsoft, Alphabet and SpaceX hit records early Friday.
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