BTC, Nasdaq Futures Drop as Oracle Earnings Stoke AI Bubble Fears
Bitcoin and Nasdaq futures fell as Oracle's earnings miss and increased debt fueled concerns about the sustainability of the AI spending boom.Summary
Risk assets, including Bitcoin and Nasdaq futures, declined on Thursday despite the Federal Reserve's rate cut, primarily due to a disappointing earnings report from Oracle. Oracle's fiscal Q2 FY26 revenue missed consensus, with legacy software sales weak, highlighting a gap between debt-fueled AI infrastructure spending and actual revenue realization. The company reported a $15 billion jump in planned data center spending, pushing its long-term debt up 25% year-over-year to $99.6 billion, with Morgan Stanley forecasting net debt to reach $290 billion by 2028. Oracle shares dropped over 10% in after-hours trading, negatively impacting AI stocks and the crypto market. This sell-off also caused the price of Oracle's five-year credit default swaps (CDS) to jump to their highest level since 2022, signaling a repricing of risk, although one analysis suggested the default probability remained relatively low.
(Source：CoinDesk)