Behind the AI frenzy, the “line of concern” of 30-year U.S. Treasuries at 5% is sharper than expected; once the cost of capital is locked in, the valuation story has to be retold.

ME News 16 reports that while technology and AI stocks soar, rising bond yields may cause the stock market to deviate from its trajectory. If the 30-year U.S. Treasury yield remains above 5%, AI stocks will face pressure. Several executives say that long-term U.S. bond yields are a key intersection for AI capital expenditure and private lending costs, potentially increasing government financing costs and negatively impacting residents' wealth; despite optimistic market sentiment, interest rates are still climbing, and if yields continue to rise, the market will face a reality check.