Nvidia and SpaceX Each Issue $25 Billion in Bonds as U.S. Investment-Grade Debt Issuance Hits June Record
N.R. Finch
US investment-grade bond issuance hit $175 billion in June, topping dealer forecasts by over 30% and breaking the post-Covid 2020 record; Nvidia and SpaceX each sold $25 billion in bonds, making AI infrastructure the single largest driver of corporate debt demand.
How big is $175 billion in one month?
June issuance ran 60% above the same month in 2025, surpassing the all-time monthly record set during the post-Covid low-rate window of 2020.
Dealers had forecast roughly $130 billion for the month — the actual figure overshot by more than a third.
This means → both supply and demand for investment-grade debt are accelerating simultaneously, not just the supply side.
Why are Nvidia and SpaceX borrowing this much?
Each company completed a $25 billion high-grade bond offering, together accounting for a significant share of June's incremental volume.
In plain terms = the money points to one thing — AI infrastructure buildout. Tech companies are tapping the bond market to fund compute expansion.
This reflects a shift: AI is no longer just an equity-market story — it has become one of the bond market's largest single financing drivers.
Rates are high — why are issuers still willing to sell?
Credit spreads — the gap between investment-grade bond yields and Treasuries — sit near historic lows.
CreditSights global strategy head Winifred Cisar noted: "Relatively stable and tighter spreads have offset, to some extent, the impact of higher absolute rates."
This means → even though benchmark rates are far above 2020 levels, tighter spreads have kept issuers' effective borrowing costs from rising sharply.
Why is everyone racing to "get the deal done now"?
Fed Chair Kevin Warsh signaled a firm commitment to bringing inflation down, leading markets to expect rates could move even higher.
Bloomberg Intelligence analyst Noel Hebert said: "Everyone wants to get their deal done now" — companies are rushing to lock in current funding costs before the window narrows.
Hebert expects June's total to break $200 billion.
Can 2026 beat the all-time annual record set in 2020?
January 2026 already posted the highest single-month issuance on record; the following three months each ranked second-highest for their respective periods.
Year-to-date volume has reached $1.15 trillion, matching 2020's pace — and 2020 finished at $1.75 trillion, still the all-time annual high.
In plain terms = the first half is tracking the strongest year ever. Whether 2026 breaks the record depends on the tug-of-war between financing demand and rate trajectory in the second half.
Content is for reference only, not financial advice.