Nvidia turmoil exposes AI financing web
With Nvidia's CEO and chairman gone, markets are questioning circular AI deals and neocloud funding. AMD outperformed Nvidia by a record margin over five days.
Confirmed
- AMD rose 44.7% while Nvidia fell 8.5% over five days
- Nvidia's CEO and chairman have left
- CoreWeave is seeking a $4B loan backed by Meta contracts at about 7.5%
Not yet known
- Whether Nscale has binding commitments for its $32B Anthropic project funding
- Unconfirmed: whether Nscale's IPO is pushed into 2027
- Whether circular AI deals and neocloud funding will hold up under scrutiny
What we know
AMD rose 44.7% while Nvidia fell 8.5% over five days, the widest gap since Nvidia's 1999 IPO. Commentators map circular deals in which Nvidia takes stakes and the cash returns as GPU orders. CoreWeave is seeking a $4B loan backed by Meta contracts at about 7.5%, versus nearly 16% on its unsecured bonds. Nscale says it has no binding commitments for its $32B Anthropic project funding (market news accounts). Nscale's IPO is reportedly pushed into 2027 (unconfirmed). SocGen says a 6% 10-year yield is "red" for the AI trade.
Five-day share move
What people are posting
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“AMD has outperformed Nvidia by +53.2 percentage points over the last 5 trading days”
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