US Treasury bonds have been experiencing rising yields as the government increasingly relies on new bonds to pay interest on old ones. The shift is driven by major tech companies such as Apple, Amazon and Nvidia issuing substantial corporate bonds to fund infrastructure for artificial intelligence, providing investors with attractive alternatives to traditional government bonds.

Federal Reserve Chairman Kevin Warsh is under pressure to raise interest rates after the consumer price index for August exceeded expectations. Investors now see an 85% chance of a rate hike at next week's policy meeting, up from 70% before the report. However, President Donald Trump has consistently called for lower rates and may oppose the move.

BNP Paribas analysts predict the bull market in corporate bonds could end as technology companies, notably Amazon, Alphabet and Microsoft, increasingly issue debt to fund artificial intelligence and data center investments. BNP estimates these firms might sell $400 billion in bonds next year, leading to a record $3.7 trillion net supply of fixed income. While investors can absorb the supply in the short term, BNP warns this trend could widen spreads and oversupply the market.

Finance teams are interested in AI, but a survey from PEX shows that many are not comfortable letting AI make routine decisions. The survey found that while 66% of finance and operations leaders are interested in using AI, only 28% are comfortable letting AI decide on routine finance matters. The main barrier is trust in AI's accuracy, with 36% of respondents citing it as a concern.

CFOs are adjusting to a new reality of persistent high Treasury yields, prioritizing internal cash generation and operational efficiency over external borrowing. With investment-grade credit yielding around 5.5% and high-yield debt near 7%, companies are restructuring debt to lock in fixed terms and maintain liquidity. "Higher rates have changed the math and, more importantly, reduced the margin for error," says Thomas DeFabrizio, CFO for the Americas at Impellam Group. "The hurdle rate should move when the cost of capital moves. Otherwise, you are pretending the financing environment has not changed."

Senate Republicans released revised CLARITY Act text ahead of a planned Sept. 15 vote, adding provisions governing when certain DeFi protocols must register with the CFTC and clarifying credit unions' authority to conduct digital-asset activities. The changes reflect continued negotiations, but significant differences remain over ethics provisions, leaving the path forward for the crypto market-structure legislation uncertain.

OpenAI has introduced ChatGPT for Financial Services, a version of its enterprise product developed with Morgan Stanley and Evercore, designed to handle tasks such as company research, financial data analysis and presentation generation. The tool uses the GPT-6 Astra model and has native data access from London Stock Exchange Group, Daloopa and PitchBook.