---
title: "U.S. stock market midday update: Nebius issues bonds worth $4.5 billion, causing a drop of over 10%, strong earnings report fails to mask market debt concerns"
type: "News"
locale: "en"
url: "https://longbridge.com/en/news/296388067.md"
description: "Nebius fell 10.16%; Microsoft rose 0.48%, with a transaction volume of USD 4.989 billion; Oracle rose 1.16%, with a transaction volume of USD 2.615 billion; ServiceNow rose 7.35%, with a transaction volume of USD 1.802 billion; Palo Alto Networks fell 3.69%, with a market value of USD 293.8 billion"
datetime: "2026-08-19T18:13:17.000Z"
locales:
  - [zh-CN](https://longbridge.com/zh-CN/news/296388067.md)
  - [en](https://longbridge.com/en/news/296388067.md)
  - [zh-HK](https://longbridge.com/zh-HK/news/296388067.md)
generator: "portal-rs"
---

# U.S. stock market midday update: Nebius issues bonds worth $4.5 billion, causing a drop of over 10%, strong earnings report fails to mask market debt concerns

**U.S. Stock Market Midday Update**

Nebius fell 10.16%, with increased trading volume. Based on recent key news:

1.  On August 19, Nebius announced the issuance of $4.5 billion in convertible senior notes for data center expansion, AI cloud development, and GPU procurement. This news led to a pre-market drop of over 8%, with the final closing decline expanding to 10.16%.

2.  On August 18, Nebius released its Q2 financial report, showing a year-on-year revenue growth of 454%, reaching $582.3 million, with AI cloud business accounting for 98% of total revenue. Despite the strong financial performance, the market expressed concerns about the company's future capital expenditures and debt levels, leading to stock price volatility.

3.  On August 14, unusual activity was observed in the Nebius options market, with a significant increase in call option trading volume, reflecting market optimism about the company's short-term prospects. However, as the company announced the issuance of senior notes, market sentiment turned cautious, leading to a decline in stock price. The AI cloud service industry benefits from pricing dynamics, with significant capital flows.

**Top Stocks by Industry Trading Volume**

Microsoft rose 0.48%. Based on recent news:

1.  On August 18, Blackstone-backed QTS Realty Trust issued high-rated bonds to fund Microsoft's data center construction. The bond subscription demand reached approximately $23 billion, indicating strong market interest in the bonds, but the high financing costs reflect investors' cautious attitude towards the risks of new data center assets.

2.  On August 17, Swiss wealth management firm LGF+ZEST investment analyst Chang Kangka stated that the monetization capability of AI needs significant improvement to support current spending plans. The market has high expectations for the AI sector, putting considerable pressure on Microsoft as a major player.

3.  On August 17, analyst Tom Essaye indicated that Microsoft's Office software segment is under pressure, with the overall software industry experiencing a downturn, affecting Microsoft's market performance. Technology and AI remain the core trading themes.

Oracle rose 1.16%. Based on recent key news:

1.  On August 19, Oracle Health expanded the functionality of its clinical AI agents, adding features for automatic coding, voice transcription of documents, and medical record review. This upgrade enhances Oracle's competitiveness in the healthcare sector, driving the stock price up. Source: Bloomberg

2.  On August 17, Morgan Stanley data showed that Oracle's credit default swaps (CDS) have risen from about 40 basis points in mid-2025 to the current 180 basis points, reflecting market concerns about its future financing needs. Source: Morgan Stanley

3.  On August 19, a proposed pipeline supplying natural gas to Oracle's large AI data center adjusted its route after being rejected by regulators in New Mexico, with the project still proceeding as planned. This news alleviated market concerns about project delays, boosting the stock price. Source: Wall Street Journal AI industry investment pressure is increasing, with rising financing demands ServiceNow is up 7.35%. Based on recent key news:

4.  On August 19, BofA raised the target price for ServiceNow from $130 to $150, reflecting confidence in the company's continued growth and AI monetization opportunities. This move drove the stock price up by 6.4%. Source: BofA

5.  On August 17, analyst Mo Haonan recommended buying ServiceNow at $123.78, with a target price of $160, due to its high customer stickiness and growth driven by AI assistant integration. Source: Analyst report

6.  On August 18, ServiceNow director Paul Edward Chamberlain sold 1,500 shares of common stock, reducing his direct holdings to 46,690 shares. This news had a limited impact on the stock price. Source: Company announcement. The software industry is expanding overall, with accelerated AI applications.

**Stocks ranked among the top in industry market capitalization**

Palo Alto Networks is down 3.69%. Based on recent key news:

1.  On August 19, Palo Alto Networks announced an expansion of its cutting-edge AI defense program, adding Anthropic, OpenAI, Mitsubishi, and Axis Communications as partners. This expansion aims to strengthen AI-driven cybersecurity defense capabilities, but the market reacted poorly, and the stock price fell by 3.69%.

2.  On August 18, Wells Fargo's latest channel survey showed that demand for cybersecurity products in the AI inference era is beginning to translate into real orders and new budgets, driving the overall cybersecurity sector up, but Palo Alto Networks failed to exceed market expectations, leading to a stock price decline.

3.  On August 17, analysts held a neutral outlook on Palo Alto Networks' future performance. Despite a significant stock price increase in April, pressure from high valuations has led to a price correction. Demand in the cybersecurity sector remains strong, with increased budgets driven by AI

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> **Disclaimer: This article is for reference only and does not constitute any investment advice.**