https://www.live-feeds.com/feed/ai-hyperscalers-issuing-a-flood-of-bonds-are-reverse-crowding-out-the-treasury-as-us-debt-soarsContinuously updated, source-cited coverage. https://www.live-feeds.com/feed/ai-hyperscalers-issuing-a-flood-of-bonds-are-reverse-crowding-out-the-treasury-as-us-debt-soarshttps://www.live-feeds.com/feed/ai-hyperscalers-issuing-a-flood-of-bonds-are-reverse-crowding-out-the-treasury-as-us-debt-soars#u53324Tue, 01 Sep 2026 01:02:24 +0000The surge in bond issuances by AI hyperscalers is competing with the US Treasury for capital, potentially driving up yields. This 'reverse crowding out' effect is raising concerns among investors and analysts. The AI industry's rapid growth is leading to a significant increase in debt, with zero-interest convertible bonds set for a record year. The bond market may be pricing in AI productivity gains as yields rise.Why it mattersThe US debt is soaring, and the AI industry's growing demand for capital is exacerbating the situation. The 'reverse crowding out' effect