With the re-ignition of concerns related to AI, the cost of Euro credit default swaps is rising.

Concerns over the valuation of AI companies have led to a deterioration in market sentiment, causing the cost of default protection for Euro-denominated credit bonds to rise. Strategists at Deutsche Bank stated in a report that worries in the technology sector have outweighed investors' optimism about progress in US-Iran negotiations. Data from S&P Global Market Intelligence shows that the iTraxx Europe Crossover index for Euro high-yield credit default swaps rose by 3 basis points to 250 basis points. The iTraxx Europe Main index for Euro investment-grade credit default swaps increased by 1 basis point to 52 basis points.