Oracle's credit risk highest since 2008 amid AI push worries
Business
Oracle's credit risk just hit its highest point since 2008, with investors worried about the company's big push into artificial intelligence.
S&P recently downgraded Oracle to just above junk status, and its five-year credit-default swaps jumped to 2.03%.
The mood is tense as people wonder if these AI moves will actually pay off.
Bond spreads widen, Moody's negative outlook
Oracle's bond spreads are widening, another sign of market nerves, with Moody's keeping a negative outlook due to doubts about Oracle turning its AI plans into real profits.
Investors are now waiting for Oracle's earnings report on September 9, hoping for some answers on how the company plans to steady the ship.