[Morgan Stanley: Oracle's 5-Year CDS Rises to 260bp, Chip Leasing SPV Expected to Become New AI Financing Vehicle] Deep Tide TechFlow reports that on October 10, according to Tide Research, Morgan Stanley's October 7, 2026, research report indicated that Oracle's 10-year USD bond yield reached 7.5%, and its 5-year credit default swap (CDS) rose from 57 basis points to 260 basis points. According to The Wall Street Journal, Oracle may purchase chips through a third-party entity and lease them back, with the scale undisclosed and the loan-to-cost ratio exceeding 50%. Morgan Stanley believes this structure closely aligns with its long-term assumed chip leasing SPV framework, with credit recorded as debt on the balance sheet and included in the parent company's adjusted leverage assessment. Morgan Stanley assesses that the bond market's reaction is more driven by investors' capacity to digest the broader wave of chip financing, with Oracle's individual supply impact being secondary. On the trading front, Morgan Stanley recommends buying Oracle's 5-year CDS and selling bonds maturing in 2035 and 2055, betting on a weakening credit profile.