AI investors have woken up to the bond market's warning signs

By Philip van Doorn

Also in Weekend Reads: Robotic housekeeping, how to save on a wedding, and advice from The Moneyist

A sudden decline in price for a high-yield bond is an ominous signal from investors about a loss of confidence in the issuer's ultimate ability to pay back the entire debt.

Recent action for bonds issued by CoreWeave has raised an alarm for investors involved in the artificial-intelligence build-out trade.

On Friday, bonds issued by CoreWeave (CRWV) in April with a face value of $2.75 billion and a coupon of 9.75% were trading for 83.35 cents to the dollar, for a yield-to-maturity of 14.58%, according to FactSet. The bonds mature in October 2031.

When interest rates rise, bonds' market prices will decline. But the action for CoreWeave has been extraordinary.

Christine Idzelis covered the reasons behind such a sharp tumble for the CoreWeave bonds and what they signal for bond and stock investors in other tech companies.

More on the bond market: Rising bond yields and higher inflation leave the Fed trapped in a rate-hike dilemma

Also from Christine Idzelis: Brazilian stocks are breaking out as investors look for opportunities beyond tech

A gloomy October for tech - so far

The S&P 500 SPX was up 1.2% for the first half of October, with 10 of its 11 sectors showing gains. The lone loser was the information-technology sectorXX:SP500.45, which was down 2.4%. Looking into a more volatile set of stocks, the iShares Semiconductor ETF SOXX was down 9.5% for the first half of the month.

Here's a sampling of coverage of what has appeared to be a reversal of trends - with some aspects of the AI trade losing steam, and some of the year's worst-performing stocks turning around this week:

-- Investors are dumping AI stocks as 'tech wreck' worsens. Here's where they're turning now.

-- How a midterm sweep by Democrats could turn this tech selloff into a tech crash

-- Many of 2026's hottest stocks have seen dramatic comedowns this week

-- Nearly 40% of the S&P 500 is in a bear market. Here are 10 of those stocks that analysts say can gain up to 81%.

A MarketWatch reporter has robot visitors

A visitor from Tau Robotics moved books aside to clean the coffee table.

Christine Ji was visited by two robots and an engineer from Tau Robotics. Here is how her two new plastic pals fared when cleaning her apartment, which included a special challenge.

More of this week's coverage from MarketWatch's technology team:

-- Elon Musk may have just taken a major step toward consolidating his empire

-- Tesla finally delivers on its promise to create a flying car

-- Chip stocks suffer worst stretch in 16 months as AI fatigue grips the market

-- Why Dell's stock was one of the S&P 500's biggest laggards on Wednesday

How to save a buck - or $20,000 - on a wedding

Don't Short Yourself is MarketWatch's weekly newsletter that offers smart tips to help you earn and grow your money.

Genna Contino is planning her wedding, and has been amazed at how expensive certain items can be, such as a dress she "fell in love with." This week in the Don't Short Yourself newsletter, she outlined one move you can make to save $20,000 on the cost of your wedding.

Talking with the 'baby chasers'

Aarthi Swaminathan interviewed retirees who have moved to be closer to their children and grandchildren. She covered how such moves help families solve the childcare crisis, and how they affect the U.S. housing market. Here are her discussions with people who have made the move, and advice on how to handle potential problems that arise within families.

More coverage of the real-estate market:

-- Midterm voters haven't seen this many housing proposals on the ballot in 20 years

-- Will mortgage rates stay above 7% in 2027? Signs point to yes.

Renting instead: Investing, not homeownership, is the No. 1 milestone that makes Gen Z renters feel successful

Should you buy an iPhone Duo?

Apple's new iPhone Duo will be available on Oct. 23.

Apple (AAPL) began taking orders for the iPhone Duo on Friday, and the new phones will be available on Oct. 23.

Genna Contino compared the features of the iPhone Duo with slightly less expensive models from Alphabet (GOOGL) (GOOG) and Samsung (KR:005930). Here's how the iPhone Duo stacks up against competitors, who had a long head start.

How to save money on taxes during a well-funded retirement

This week in the Fix My Portfolio column, Beth Pinsker answered questions from a woman who, alongside her husband, has prepared carefully for retirement, with several sources of income. How should they manage their money to minimize income taxes?

More for retirees:

-- Your Social Security check will rise an average of $75 a month - will it be able to keep up with inflation?

-- These unpopular solutions could rescue Social Security's finances. Here's who could pay the most.

The Moneyist and the $350,000 AI play

Quentin Fottrell is The Moneyist.

This week, Quentin Fottrell - The Moneyist - answered questions from a reader whose investment adviser suggested that he participate in a private investment in data centers overseas. Here is a breakdown of some hard questions the investor should ask, and other steps he should take while considering a very risky move.

More advice from The Moneyist:

-- I'm 64 with two sons, but only one works in the family firm. Should I leave him 70% of the business?

-- 'It's a wait-and-see situation': I'm 63 and diagnosed with lymphoma. Should I take my Social Security next year?

-- My sister moved in with our mother, 78, and says she deserves the $925,000 family home. Is she right?

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-Philip van Doorn

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10-16-26 1452ET