Tech Stocks Rebound Amid Concerns Over Off-Balance-Sheet Debt

Tech stocks have rebounded following a recent decline attributed to concerns about a potential AI bubble. Shares in chipmakers Samsung and TSMC experienced significant gains as investors anticipated continued demand for semiconductors, leading to increases in tech-heavy benchmarks in South Korea, Taiwan, and China. However, a report from Nikkei indicated that financial statements from major companies including Alphabet, Amazon, Meta, Microsoft, and Oracle revealed hidden off-balance-sheet debt totaling $1.65 trillion, which has increased eightfold over the past four years due to investments in data centers. Although these firms project future earnings to surpass their debts, market concerns have been noted, with Morgan Stanley and Moody's also addressing the issue in their reports.