CNBC host Jim Cramer says rising borrowing costs are dividing the stock market. In his view, companies tied to artificial intelligence are attracting financing more easily than businesses that depend on traditional credit.
Cramer linked investor caution to rising U.S. Treasury yields. A $39 billion auction of 10-year notes drew strong demand, but the yield briefly climbed to 5.365%, CNBC reported. That was its highest level since April 2002. Major stock indexes ended the day lower.
Cramer said higher borrowing costs matter most for finance, housing, utilities, retail, autos and industrials, where companies or their customers rely heavily on credit. He sees a different picture for chipmakers and data-center builders, as well as the energy and cybersecurity companies supporting AI infrastructure.
Cramer cited SpaceX as one example. The Financial Times reported that the company is considering raising about $40 billion to buy Nvidia chips. Axios said the proposed financing could include roughly $30 billion in investment-grade bonds and $10 billion in bank loans. SpaceX had not confirmed the plans in the cited reports.
Cramer expects investor enthusiasm for AI could help SpaceX secure relatively favorable terms. He contrasted it with Skydance, which issued a large amount of debt as part of its acquisition of Warner Bros. Discovery. Cramer said the bonds fell as investors assessed pressures on film and television businesses, including cord-cutting and advertising weakness.
Cramer sees the contrast as part of a market rally led by AI-linked shares. That is his assessment of current market behavior, not confirmation that such companies are immune to interest rates.