Changes in US stocks | Concerns about default increase, AI cloud service providers continue to plummet, CoreWeave (CRWV.US) falls more than 7%

The Zhitong Finance App learned that on Thursday, AI cloud service providers continued to plummet, and NEBIUS (NBIS.US) continued to drop more than 10%, making it one of the biggest losers in the NASDAQ 100 index; CoreWeave (CRWV.US) continued to fall by more than 7% and has fallen about 25% so far this week.

CoreWeave's five-year credit default swap (CDS) spread widened by 135 basis points to a record high of 1,117 basis points, implying a default probability of about 63% within five years. CoreWeave CEO Michael Intrator blamed the market reaction on a “misjudgment” in an internal memo, saying the company is confident in its business model — yet after the memorandum was issued, the CDS spread continued to widen to this record level.

The credit market's pricing on CoreWeave's default risk continues to soar. Well-known research firm Gartner warned that it is predicted that over 80% of emerging cloud computing service providers (neocloud) will not be able to survive independently until 2030.