BondsMedium•22 October 2026•
1 min read
Meta Credit Default Swaps Hit Record High on AI Spending Plans
Key Facts
1Meta Platforms Inc. credit default swaps rose as much as 8.9 basis points to around 119.3 basis points.
2The credit risk gauge reached its highest intraday level since active trading began about a year ago.
Meta Platforms Inc. credit default swaps rose as much as 8.9 basis points to around 119.3 basis points. Bloomberg reported that the credit risk gauge reached its highest intraday level since active trading began about a year ago. The spike in credit risk insurance costs follows the company's announced plans to significantly increase capital expenditure on artificial intelligence infrastructure.
META closed at $697.52 on October 21, 2026, as peer technology stocks showed varied performance with MSFT closing at $532.95 and GOOGL at $334.76 on the same date. The record high in CDS spreads indicates rising market concerns over debt risk and borrowing costs for the company as it pursues its AI investment strategy.