AI is intensifying the bond-market problem. An estimated $11 trillion of AI capex could be deployed through 2029, with roughly $5 trillion financed through credit. That means AI-related issuers are increasingly competing with the U.S. Treasury for the same pool of global fixed-income capital. Hyperscaler issuance is already approaching 9% of investment-grade supply, while foreign investors are allocating more capital toward corporate credit relative to Treasuries. The implication is straightforward: Treasury debt has to compete harder for buyers. And that means higher yields may be required to attract the marginal dollar of capital — making an already difficult long-term government financing problem even harder.(BloFin Research)