NVIDIA Backs $250B OpenAI Financing as CDS Spreads Hit Record 80bps
NVDA sits 21% above its 52-week low of $164.07.
Summary
NVIDIA is backing roughly $250 billion in financing for OpenAI's Ohio data center lease, a massive commitment that ties its balance sheet to hyperscaler AI infrastructure. This comes as credit default swaps on NVDA widened to a record 80 basis points, signaling rising credit risk amid concerns over AI capex sustainability. Amazon separately raised its 2026 capex to $220 billion and called NVIDIA chips central to AWS, while the US probes channels supplying accelerators to China. Michael Burry bought December 2026 NVDA put options, adding to bearish pressure. The $250B figure dwarfs prior partnership announcements and introduces direct financial exposure beyond chip sales.
At the time of this announcement, NVDA was trading at $198.98 on NASDAQ in the Technology sector, with a market capitalization of approximately $4.9T. The 52-week trading range was $164.07 to $236.54. This news item was assessed with negative market sentiment and an importance score of 8 out of 10. Source: Wiseek News.