Oracle Debt Derivatives Jump as Traders Hedge AI Bets

Oracle Corp. offices in Redwood City, California. — Oracle Corp. offices in Redwood City, California.
Photographer: David Paul Morris/Bloomberg

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By Caleb Mutua

November 14, 2025 at 6:02 PM UTC

Corrected

November 14, 2025 at 11:23 PM UTC

The cost of protecting Oracle Corp.’s debt against default rose on Friday, after surging by the most since 2021 on Thursday, as jittery investors and lenders rush to hedge against the billions of dollars the software giant is pouring into artificial intelligence.

Oracle, known for its namesake database software, saw the spread on its five-year credit default swaps jump as much as 4.36 basis points on Friday to about 106 basis points. That’s the highest since Nov. 2022, according to ICE Data Services.