JPMorgan Report: AI Investment Boom Faces Sustainability Risks as Debt Financing Surges

JPMorgan (JPMorgan) released a strategy report on September 9, 2026, highlighting that AI-related capital expenditure is reshaping the US credit market. Year-to-date, high-grade bond issuance linked to AI reached $266 billion, significantly outpacing previous years. JPMorgan estimates that AI capital expenditure will require $5.5 trillion in total funding, with high-grade bonds serving as the primary external source. The report warns that historical investment booms rarely end mildly, and the shift from internal cash flow to external debt makes capital expenditure plans vulnerable to tightening credit conditions. Additionally, rising fiscal deficits and interest costs are expected to double by 2035, further complicating the macroeconomic landscape.