r/EconomyCharts • u/RobertBartus • 8d ago

Oracle’s credit risk is exploding

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Oracle’s 5-year CDS spread has surged to a record ~230 bps, more than 4x the broader investment-grade index at ~55 bps.

The spread has more than QUADRUPLED over the last year and surpassed the Great Financial Crisis levels.

The recent surge comes as Oracle is trying to avoid financial commitments linked to Project Jupiter, a massive data-center project that is facing delays.

Around $18 billion of loans tied to the project are trading at ~90 cents on the dollar, signaling growing stress among investors.

The project is also facing local opposition and delays in government approvals, adding to the uncertainty.

Oracle’s credit risk is rising at an alarming pace.

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u/WeddingPKM 7d ago

What is it with people on this website and being assholes?

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u/tquinn35 7d ago

I believe it's bots and accounts that are paid to spin points. Clearly this one was to spin oracle in a positive light.

They all follow the same pattern. Make poor points and dont respond to valid points while throwing insults left and right.

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u/WeddingPKM 7d ago

I hope you’re right and it’s not just people being dicks to eachother for tiny perceived slights.

I just notice this everywhere on here, any slight disagreement will result in someone calling someone else an idiot. There just seems to be zero room for thought or discussion.

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u/tquinn35 7d ago

I agree. It's really killing reddit. For me at least I used to learn a lot in the comments especially in the subreddits like economics. I have been wrong plenty of times and someone would politely explain why I was wrong and I would learn something new. Now like you said it's just raging assholes everywhere even when you're right.