Rating Agencies Fuel AI Debt Bubble

Rating agencies are reportedly giving investment‑grade/AAA scores to debt issued to finance AI buildouts. That makes it easier for insurers and institutional investors to buy AI‑backed paper, recreating a recurring pattern (Enron, mortgage‑backed securities) where ratings enable large, fragile financing structures tied to a single techno‑industrial bet. — If true, this pattern raises systemic financial‑stability questions (pension/insurer exposure, contagion risk) and demands regulatory scrutiny of rating practices, insurance allocation rules, and disclosure around AI project economics.