Chamath Palihapitiya Says 6% Treasury Yield Could ‘Run Over’ AI Businesses

Chamath Palihapitiya cautioned that a 10-year Treasury yield of 5.5% to 6% could severely impact businesses reliant on financing spreads, including those in the AI sector. He emphasized the importance of managing deficits to prevent a rise in yields, which recently reached 5.34%, the highest since 2002. Palihapitiya suggested that major tech companies like Microsoft, Alphabet, Meta, and Nvidia may need to intervene if the market faces significant corrections in the coming years.