Earlier reports indicated that SpaceX(US.SPCX) is seeking to raise $40 billion to purchase NVIDIA(US.NVDA) chips. It was reported that SpaceX is seeking around $10 billion in bank loans and plans to issue $30 billion in investment-grade bonds.
The news triggered market concerns over SpaceX's financial leverage and rising capital expenditure. ICE Data Services data showed that SpaceX's five-year credit default swap rose 14.5 basis points on Wednesday (7th) to an annualized level of about 195.4 basis points, the highest intraday level since active trading began in June. The spread on SpaceX's 6.65% coupon bond maturing in 2056 widened by 12 basis points to 238 basis points, significantly higher than the 175 basis points at issuance in June. The Financial Times reported that the bond's recent trading levels have approached those of junk bonds.
Currently, the Hang Seng Index stands at 24,105, down 24 points or 0.1%, with main board turnover nearing HK$9.7 billion. The Hang Seng China Enterprises Index is at 8,110, up 28 points or 0.3%. The Hang Seng Tech Index is at 4,198, up 4 points or 0.1%. (am)
| Stock (Code) | Current Price (HK$) | Change (%) |
|---|---|---|
| SMIC(00981) | 60.45 | Down 0.74% |
| Hua Hong Semiconductor(01347) | 104.7 | Down 0.57% |
| ASMPT(00522) | 167.9 | Down 3.78% |
| Shanghai Fudan (01385) | 25.6 | Down 0.23% |
| Montage Technology(06809) | 289.2 | Down 0.62% |
| Tianshu Zhixin (09903) | 95 | Down 4.23% |
| Tianyue Advanced (02631) | 68.5 | Up 3.79% |
| Hua Hong Semiconductor(01347) | 104.7 | Down 0.57% |
| Biren Technology(06082) | 33.08 | Down 3.95% |
| GigaDevice(03986) | 435.6 | Up 1.07% |
