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- FM Sitharaman pushes municipal bonds for urban funding amid rising borrowing costs
Union Finance Minister Nirmala Sitharaman called for stronger municipal finances and more bond-based funding for urban infrastructure, as rising borrowing costs make it harder for Indian cities to raise money from capital markets. She said cities need stronger own-source revenues, credible accounts and financially viable projects to attract private investors, and stressed that public investment must continue alongside private funding. The Reserve Bank of India raised its benchmark repo rate by 25 basis points to 5.50% earlier this month, and government bond yields have also risen. She pointed to the Urban Challenge Fund, backed by Rs 1 lakh crore in central assistance and aimed at mobilising Rs 4 lakh crore in total urban investment, and to a Tamil Nadu model in which 13 urban local bodies jointly raised funds through a bond for water and sanitation.
- Stocks are heading for a high - stakes showdown , as strong earnings collide with rising borrowing costs
Wall Street faces a tug-of-war as booming earnings for technology and energy firms collide with a relentless rise in bond yields, which have reached their highest levels in decades. Analysts expect earnings to keep soaring on AI data center build-outs, while oil prices, pushed into triple-digit territory by the war with Iran, add pressure on consumers. The market has split into AI and non-AI stocks, and AI stocks sold off last week as Treasury yields fell and investors questioned the AI-driven growth story. Valuations have slumped: the S&P 500 trades at 19 times expected earnings, below its five-year and 10-year averages, according to FactSet. Fidelity's Jurrien Timmer said earnings growth and the rising cost of capital are in a race to determine stock prices.
- Stocks are heading for a high-stakes showdown, as strong earnings collide with rising borrowing costs
- AI Boom Interest Rates : Why Borrowing Costs Are Rising
Central bankers are preparing for an era in which AI-driven investment keeps interest rates high and forces governments to tighten budgets after years of cheap money. The global race for capital tied to AI is pushing policymakers to abandon hopes of a return to cheap credit. Spending on chips, data centres, power grids and telecom networks is boosting growth while pushing up borrowing costs, a dual effect at the heart of the policy challenge facing central banks.
- AI Debt , Municipal Bonds Offer Opportunities Amid Market Volatility : Goldman Sachs
Alex Finston, co-head of US and Asia Credit Trading at Goldman Sachs, said credit markets could offer fresh opportunities through the end of 2026, pointing to high-quality AI-related debt, which is available at higher yields after recent volatility. He also highlighted portfolio hedges, which are attractive given low implied volatility, and municipal bonds, with tax-equivalent yields approaching 10 per cent after increased supply. Investment-grade credit spreads sit around the 10th percentile of their 20-year range and leveraged finance spreads around the 25th percentile, but Finston warned that conditions are increasingly differentiated across sectors, calling it a 'credit picker's market'. Investors will watch the Federal Reserve's flexibility and the possibility of large AI-related debt deals before year-end.
- CoreWeave shares, bonds headed for steep weekly losses as AI borrowing concerns mount
CoreWeave shares dipped 4.1% in premarket trading on Friday after jumping 5.9% in the previous session, and were down more than 15% for the week, on course for their biggest weekly decline in about two months. Its October 2031 dollar bond briefly yielded over 16% on Thursday and is set for a fifth straight weekly decline, while the cost of insuring its debt surged past 1,000 bps to record highs, according to S&P Global Market Intelligence data. The loss-making cloud company, which has about $50 billion in debt, has been hit as hot inflation data raised borrowing-cost worries, and BCA Research said its business model is a highly indebted bet on future data center demand. Shares of rival Nebius Group fell 1.5% on Friday morning.
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- Intel stock pops after JPMorgan gives a Neutral upgrade
JPMorgan (JPM) upgraded Intel (INTC) to Neutral from Underweight. The note points to improving execution under CEO Lip-Bu Tan, potential foundry customers for next-generation manufacturing, and rising earnings estimates for 2027 and 2028.
- Intel leads chip stocks higher as investors jump back into AI trade
Chip stocks rebounded on Monday as investors bought the dip after last week's steep AI trade sell-off. The PHLX Semiconductor Index (^SOX) rose 2%, reversing a recent semiconductor rout. Intel (INTC) jumped 5% after JPMorgan upgraded the stock to Buy, citing "solid execution." Nvidia (NVDA) and AMD (AMD) also gained, while a Goldman Sachs upgrade of CoreWeave (CRWV) to Buy from Neutral helped lift AI sentiment. Arm Holdings (ARM), Micron Technology (MU) and SK Hynix (SKHY) also rebounded after sharp declines last week.
- Netflix stock is down roughly 25% in 2026 as Q3 earnings loom
Netflix (NFLX) reports third-quarter results after the bell on Tuesday, with the stock down more than 25% this year and closing Friday near $70, versus $93.76 at the end of 2025. Investors are worried about slowing viewership, competition from YouTube, and live sports moving to Amazon Prime Video and HBO Max. Last week Netflix cut about 6% of its workforce (roughly 1,000 employees) and named Peter Rice its new chief content officer, and five firms lowered price targets in October. Analysts expect EPS of $0.82 on revenue of $12.88 billion, up about 12% from a year earlier, in line with Netflix's own forecast. KeyBanc's Justin Patterson wants more content investment, product changes, expense cuts and a possible first-ever dividend.
- Cleveland-Cliffs Jumps 10% on Strongest Quarter in Three Years; Nucor and Steel Dynamics Edge Higher
Cleveland-Cliffs (CLF) rose 10% to $13.29 after reporting third-quarter adjusted EBITDA of $612 million, beating its $575 million guidance and up sharply from $143 million a year earlier. Revenue of $5.61 billion missed the $5.72 billion expected, though sales rose 18.6% year over year on a higher average net selling price of $1,177 per ton and larger shipments. Management said imports remain well below historical levels, but it indefinitely idled the galvanizing lines at its Canadian unit Stelco due to oversupply. The company guided to about $715 million of adjusted EBITDA in Q4 and said 2027 adjusted EBITDA should exceed $4 billion based on current index price forecasts. Its target is to bring net debt to EBITDA below 2.5x by mid-2027.
- Tech rebounds as semiconductor stocks jump: AlphaCheck
Stocks were mostly higher on Monday as investors turned their focus to earnings season, with semiconductor stocks rebounding after last week's sharp sell-off. The Tech sector (XLK) rose, led by Nvidia (NVDA), AMD (AMD), Micron (MU) and SK Hynix (SKHY). Intel (INTC) also jumped after JPMorgan analysts upgraded the stock, while CoreWeave (CRWV), hammered last week, rebounded on a Goldman Sachs upgrade. Investors are watching this week's reports from Netflix (NFLX), SpaceX (SPCX), Tesla (TSLA) and Meta (META). The 10-year Treasury (^TNX) yield hovered near 5.1%, while Brent crude (BZ=F) dropped to $108 per barrel and WTI (CL=F) hovered below $98.
- AI capex may be Meta's biggest earnings test
Meta Platforms (META) reports third-quarter earnings after the close on Wednesday, alongside a wave of Big Tech peers. The GAAP EPS estimate is $3.54, though that figure may be messy because a legal settlement will be included and analysts differ on how it will be accounted for. Options imply a 3.2% move in either direction, the smallest since the fourth-quarter report before last. Estimates for next year's capex vary widely: Wedbush near $250 billion, Evercore ISI $210 billion, Bank of America $205 billion and Dan Ives around $194 billion. Most analysts say that spending is acceptable if Meta provides a Muse roadmap and confidence it can monetize it, and the stock is up about seven and a half percent year to date.
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