# AI Stocks Drop as Bond Yield Spikes

> AI stocks fall after CoreWeave's bond yield hits 15%.
- Title: AI Stocks Drop as Bond Yield Spikes · The Motley Fool
- Summary: AI stocks fall after CoreWeave's bond yield hits 15%. AI stocks dropped 3% as CoreWeave's bond yield spiked to 15%.
- Keywords: coreweave, nvda, broadcom, bond yield, ai stocks, s&p 500, elton musk, chamath palihapitiya, finance, money, Stocks, Drop
- Source: The Motley Fool — https://fool.com/investing/breakfast-news/2026/10/16/breakfast-news
- Author: TMF Breakfast News
- Published: 2026-10-16T11:30:02+00:00
- Read time: 1 min
- Topics: coreweave, nvda, broadcom, bond yield, ai stocks, s&p 500, elton musk, chamath palihapitiya, x, finance, money
## Inflation and a 15% Bond Yield Hit AI Stocks
Nvidia and Broadcom dropped over 3% as hot inflation dragged down the broader market.AI stocks took an extra hit when a viral chart on X showed yield on bonds issued by CoreWeave spiking to 15%.

> yield on bonds issued by coreweave, which borrows to buy nvidia chips and rent them out, spiking to 15%
## CoreWeave Debt Hits $52 Billion
CoreWeave's debt reached about $52 billion by June, up from about $15 billion a year earlier.

> CoreWeave's debt had reached about $52 billion by June, up from about $15 billion a year earlier.
## Skeptic's Math: Debt Could Wipe Out Shareholders
D.A. Davidson analyst Gil Luria warns that high debt costs could wipe out shareholders completely if AI demand cools down.

> If ai demand cools down, he warns, high debt costs could wipe out shareholders completely, leaving the company's equity worth zero.
## BlackRock Downgraded Stocks to Neutral
BlackRock downgraded U.S. stocks to Neutral on Tuesday, saying they were taking profits around the AI buildout.

> BlackRock (BLK) downgraded U.S. stocks to Neutral on Tuesday. Its strategists said they were taking profits around the AI buildout.
## TSMC Beat Earnings But Stock Slipped
Taiwan Semiconductor Manufacturing beat earnings expectations with a 41% surge in year-over-year revenue but its stock still slipped in pre-market trading.

> Taiwan Semiconductor Manufacturing (TSM) beat earnings expectations on Thursday with a 41% surge in year-over-year revenue and a raised fourth-quarter forecast, yet its stock still slipped in pre-market trading.
## JPMorgan Missed Profit Estimates But Rose
JPMorgan Chase missed profit estimates but its stock rose as its core lending business hit a new high.

> JPMorgan Chase (JPM) missed profit estimates and rose anyway. Its core lending business hit a new high, and management raised its lending-income forecast for the year.
## Gasoline Prices Up 9.1% in September
Gasoline averages $4.34 a gallon, up 9.1% from $3.08 a year ago, driving most of the latest inflation numbers.

> Gasoline averages $4.34 a gallon, up from $3. 08 a year ago. Pump prices rose 9.1% in September. That spike drove most of the upside in the latest inflation numbers.
## Neutron Rocket Delayed to 2027
Rocket Lab delayed Neutron's first flight to 2027 due to manufacturing voids in the propellant dome.

> Rocket Lab (RKLB) said Neutron's first flight slipped to 2027. The trouble is a part called the propellant dome. Its manufacturing process left voids, or small gaps, in the carbon composite layers.
## Key takeaway

AI stocks dropped 3% as CoreWeave's bond yield spiked to 15%.