Investors are seeking more downside protection in Big Tech: The total value of debt being insured against default in major tech companies is up to $10 billion. Furthermore, net notional credit default swaps (CDS) outstanding are up nearly 400% from the $2.2 billion seen just 13 months ago. Oracle, ORCL, leads with $6.0 billion, followed by Amazon, AMZN, at $1.7 billion, and Alphabet, GOOGL, at $895 million. Meta, META, stands at $687 million, Microsoft, MSFT, at $521 million, and Nvidia, NVDA, at $220 million. For context, a year ago, CDS contracts on many of these names did not even exist. The AI debt binge is in full swing.(The Kobeissi Letter)