US Stock Market Move | Credit risk indicators hit record highs; Meta (META.US) falls over 5%.

On Thursday, Meta (META.US) fell more than 5% to $657.65. On the news front, according to Meta's disclosure in regulatory filings, as of the end of September this year, the company's total committed future expenditures amounted to approximately $825 billion, covering leases, cloud computing contracts, data centers and various other agreements, with a large portion of the funds directly related to AI computing power and infrastructure construction. This figure has risen sharply from approximately $700 billion disclosed in July this year, with more than $100 billion in new commitments added within just a few months. Prior to this, Meta raised its full-year capital expenditure plan, lifting the lower bound of this year's capital expenditure forecast from the previous range of $130 billion to $145 billion to $135 billion to $145 billion. It also announced the creation of a new class of non-voting stock to provide a potential financing tool for future acquisitions and other expenditures. On Thursday, the price of five-year credit default swaps (CDS) measuring Meta's credit risk soared to a record high, and the company's bonds weakened significantly relative to US Treasuries. This reflects investors' deep concerns: tech giants' continued borrowing for AI expansion will further intensify pressure on an already oversupplied bond market. According to ICE Data Services, the price of five-year credit default swaps on the company's debt rose by as much as 8.9 basis points to approximately 119.3 basis points per year. Credit default swap prices rise as investor concerns intensify. This is the highest intraday level since the swap contract began actively trading about a year ago. On the same day, the cost of related debt protection for other hyperscalers and chip manufacturers also rose, including credit default swaps linked to Oracle Corporation (ORCL.US), Microsoft Corporation (MSFT.US) and Broadcom Inc. (AVGO.US).