AI hyperscalers will drive higher US corporate bond supply in 2026, analysts say

FILE PHOTO: AI letters and robot hand are placed on computer motherboard in this illustration created on June 23, 2023. REUTERS/Dado Ruvic/Illustration/File Photo

WASHINGTON, Jan 15 (Reuters) - U.S. corporate ‌bond issuance is expected to increase substantially in 2026, driven in part by AI hyperscaler companies' ‌build-out needs, analysts forecast.

While pent-up M&A activity and a need by companies to refinance existing ‌debt will likely contribute to higher overall corporate bond issuance this year, the biggest factor will be AI-related funding needs, according to a Thursday report from Barclays.