Daily Update — Decemeber 09, 2025
Clean Energy Expansion; AI Capital Considerations; and Fund Finance Shaping Private Credit
Today is Tuesday, December 9, 2025, and here’s your curated selection of Essential Intelligence on global markets from S&P Global. Subscribe to be notified of each new Daily Update.
Energy Transition & Sustainability
US adds 11.7 GW of clean energy capacity in Q3, long-term uncertainty remains
The US clean energy industry had a strong third quarter, adding 11.7 GW of capacity — a 14% year-over-year increase. However, while strong momentum and policy tailwinds have supported the industry over the past several years, the American Clean Power Association warned that lingering policy and regulatory uncertainty put future growth at risk.
Battery storage additions reached a record third-quarter high of 4.7 GW, while land-based wind increased 131% year over year, with approximately 1.0 GW added in the same quarter, according to the American Clean Power Association. Solar had the most capacity installed in the quarter, with 6.0 GW. Through the end of the third quarter, 30.9 GW of clean energy power generation had been connected to the grid in 2025, surpassing the record set for this period in 2024 by 1 GW.
Artificial Intelligence
Optimism grows as capital flows, but what if AI promises fade?
Data center and AI infrastructure investment has grown rapidly, with its contribution to economic growth already evident. Sector market fundamentals are healthy, and digital infrastructure is a central theme for investors and lenders. As the AI transformation is still in its early stages, S&P Global expects this to continue for several years, supported by robust demand, limited supply, strong earnings, high prices and narrow corporate spreads.
However, with such capital intensity and investor appetite, competition is increasing fast. This could lead to higher leverage, unsustainable asset valuations and more aggressive financing structures. These factors can be precursors to market downturns, highlighting the importance of management. Other longer-term risks for data centers include overbuilding, tenant credit quality and regulatory requirements. S&P Global believes these risks will not be uniform among market participants should AI revenue promises fade.
Private Markets
Private Markets: How Will Fund Finance Shape Private Credit?
With the investor base expanding, rapid innovation in fund finance is blurring the line between funds and securitizations. S&P Global Ratings expects this to lead to an eventual standardization of fund structures.
Private equity and private credit funds are using fund finance to create liquidity. Private credit now provides financing for asset types more common to securitization, spanning corporate debt and asset-backed instruments, as well as digital infrastructure and transportation-related assets. This growth is creating new financing needs for asset managers and spurring developments in fund finance. Fund finance is also generating liquidity for limited partners that have been waiting for returns, given the slow M&A market.
Rapid innovation is leading to new, hybrid financing structures that blend aspects of funds and securitizations. Feeder funds, collateralized fund obligations, net asset value loans, subscription lines, secondaries and funds of funds are increasingly using concepts common to securitizations, creating innovative approaches to provide debt capital to funds.
In case you missed it
- Vietnamese feed mills showed renewed interest in Argentine feed wheat during the week of Dec. 4 as the South American country heads for a record harvest, several trade sources told Platts, part of S&P Global Energy.
- Australia's Anti-Dumping Commission is investigating imports of fully and partially fabricated aluminum windows and doors from China as the industry seeks fair competition amid global trade disruptions.
- Marine insurance rates have fallen significantly for Red Sea transits while rising for transits in the Black Sea, several insurance and security sources told Platts, part of S&P Global Energy, highlighting changing security dynamics in these regions.
Upcoming events
- Put the World’s Supply Chain at Your Fingertips. Powered by Panjiva | December 11 (Webinar)
- Data Centers: Energy and Water Needs | December 11 (Webinar)
- Africa In Focus: Latest Credit Trends and Their Ripple Effects on The Private Sector | December 11 (Webinar)