Key facts
- CoreWeave's bonds traded at yields as high as 16%.
- Nebius is up 112% for the year.
- Dell is up 273% for the year.
- Sandisk is up 476% for the year.
- Anthropic's third-quarter revenue rose 45% to $16.8 billion from the previous quarter.
A market rout centered on AI-related borrowers moderated on Thursday, with buyers returning to the tech sector after a weak U.S. open and declining bond yields eased pressure. Data center operator CoreWeave was down 2% at midday after falling as much as 10% earlier on Thursday and tumbling 15% on Wednesday. The company's bonds traded at yields as high as 16%, and its credit default swap spreads widened. Concerns about CoreWeave and similarly situated players stemmed in part from the perception that business is slowing at AI labs Anthropic and OpenAI. According to an investor who attended a meeting with Anthropic's leadership, third-quarter revenue rose 45% to $16.8 billion from the previous quarter, a figure some analysts found disappointing given expectations for the sector. CoreWeave CEO Mike Intrator said in an internal memo that the market is acting irrationally and that he remains confident in the AI cloud company. The Nasdaq was down 0.4% on Thursday afternoon, with Alphabet and other hyperscalers mostly little changed. SpaceX was down 3%.