🦔Goldman Sachs' trading desk said there are 'signs of panic' among investors lending money to AI companies. Oracle is the clearest example.…

🦔Goldman Sachs' trading desk said there are "signs of panic" among investors lending money to AI companies. Oracle is the clearest example. S&P cut Oracle's credit rating to one notch above junk, meaning lenders now see the company as borderline risky. Half of Oracle's future revenue depends on OpenAI, which has never turned a profit. Investors who lend to Oracle are now charging significantly more than they charge other big tech companies because they're less confident they'll get paid back. My Take I posted about Oracle's downgrade last week. This Goldman note makes it worse. Stock investors and bond investors are looking at the same AI companies and coming to opposite conclusions. Stock investors see growth. Bond investors see companies spending more than they earn and borrowing the difference. When those two views diverge, the bond market usually ends up being right because those investors only care about one thing: does the money come back. Oracle has a $42 billion cash shortfall projected by 2027 and is financing it with debt. Its data center leases run 19 years but its customer contracts run 5. If OpenAI can't pay, Oracle is stuck with buildings it can't easily fill. Goldman's warning didn't come from a research analyst writing a report. It came from the trading desk, the people who watch money move in real time. This week Alphabet and Tesla report earnings. How those numbers land will either settle the bond market down or confirm what Goldman's traders are already seeing. Hedgie🤗

Source: Gary Marcus (X) | 2026-07-20