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SpaceX Credit Risk Gauge Hits Record High on Fundraising Reports

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SpaceX Credit Risk Gauge Hits Record High on Fundraising Reports A measure of SpaceX’s credit risk surged to a fresh high and the company’s bonds tumbled in the secondary market on Wednesday, following reports the company is in talks with banks and investors to raise $40 billion to buy chips from Nvidia Corp. The price of five-year credit default swaps on the company’s debt, which increases as investor concerns grow, rose as much as 0.143 percentage point, or 14.3 basis points, to around...

SpaceX Credit Risk Gauge Hits Record High on Fundraising Reports A measure of SpaceX’s credit risk surged to a fresh high and the company’s bonds tumbled in the secondary market on Wednesday, following reports the company is in talks with banks and investors to raise $40 billion to buy chips from Nvidia Corp. The price of five-year credit default swaps on the company’s debt, which increases as investor concerns grow, rose as much as 0.143 percentage point, or 14.3 basis points, to around 195.2 basis points a year, according to ICE Data Services. It’s the highest intraday level since the swaps tied to the Elon Musk’s rocket, satellite and AI conglomerate started actively trading in June.
SpaceX Credit Risk Gauge (ORG) Fundraising Reports (ORG) SpaceX (ORG) Nvidia Corp. (ORG) ICE Data Services (ORG) AI (ORG)
Originally published by Bloomberg Markets Read original →