Investing.com -- Investment-grade bond issuance in both dollar and euro markets has reached or exceeded previous record levels so far this year, driven partly by accelerated financing for artificial intelligence projects, according to Goldman Sachs.

The bank's global credit trading desk noted that market participants have focused on new issue trends, influenced by seasonal patterns and the recent increase in AI-related financing across liquid and private markets, innovative structures, and currencies.

In investment-grade markets, the year-to-date pace represents a strong start in both U.S. dollar and euro denominations. High-yield markets showed a more varied picture, with dollar-denominated high-yield supply tracking at the highest level since 2021, while euro high-yield issuance remained moderate compared to historical levels. The financing mix prompted Goldman Sachs to raise its net issuance forecasts for both dollar and euro high-yield bonds.

Average deal sizes increased substantially in dollar-denominated investment-grade and high-yield markets, driven by compositional and market structure factors. Euro market deal sizes showed moderate gains.

Technology sector supply reached multiples of the 2022-2025 run rate across dollar and euro markets, pushed by AI-related financing. Other sectors also contributed to higher volumes.

U.S.-based firms generated 22% of euro investment-grade supply, a new record, as companies with large financing needs diversified issuance across currencies including euros, Swiss francs, and British pounds.

In the dollar market, firms rated AA- or higher issued 21% of year-to-date investment-grade gross supply, the highest share since 2016. In dollar high-yield, firms rated BB- or higher generated 64% of gross supply, matching 2025 and representing the largest share on record.