Goldman Sachs' global credit trading desk reported that investment-grade bond issuance this year has matched or surpassed earlier record levels in both dollar and euro markets, a development the bank attributes in part to faster financing activity tied to artificial intelligence projects.
The desk noted market attention on emerging new-issue patterns, shaped by typical seasonal cycles and a recent uptick in AI-related financing across both liquid and private markets. Goldman highlighted the role of innovative deal structures and issuance in a range of currencies in shaping the current picture.
In investment-grade markets, the year-to-date issuance pace represents a robust start in both U.S. dollar and euro-denominated debt. By contrast, high-yield markets showed a less uniform trend: dollar-denominated high-yield supply is tracking at its strongest level since 2021, while euro high-yield issuance has stayed moderate when viewed against historical norms. In response, Goldman Sachs raised its net issuance forecasts for both dollar and euro high-yield bonds.
The bank also pointed to meaningful increases in average deal sizes in dollar-denominated investment-grade and high-yield issuance, which it said were driven by compositional shifts and evolving market structures. Deal sizes in the euro market recorded more modest gains over the same period.
Technology-sector issuance was especially prominent. Goldman reported that supply from the technology sector reached multiples of the 2022-2025 run rate in both dollar and euro markets, a development it directly linked to AI-related financing. Other industry groups also added to elevated issuance volumes.
Another notable feature of this year's issuance mix was the growing share of euro investment-grade supply coming from U.S.-based companies. Firms based in the United States accounted for 22% of euro investment-grade issuance year-to-date, a new record, the bank said. Goldman cited this as evidence that companies with substantial financing needs are broadening their currency mix by issuing in euros, Swiss francs, and British pounds as well as dollars.
Within the dollar market, higher-rated issuers have been prominent. Corporates rated AA- or higher were responsible for 21% of year-to-date investment-grade gross supply, the largest share since 2016. In dollar high-yield, issuers rated BB- or higher generated 64% of gross supply, matching 2025 and representing the largest share on record, according to the bank.
Context and market implications
Goldman Sachs' observations point to a financing environment in which AI-related capital needs are coinciding with broader structural changes in issuance behavior - including larger average deal sizes in dollar markets, concentrated technology-sector issuance, and increased cross-currency borrowing by U.S. firms. At the same time, the divergence between dollar and euro high-yield activity highlights uneven liquidity and supply dynamics across regions.