Fed staff are more worried about stock prices than tech debt, even as hyperscalers go on a borrowing binge for their AI spending

Soaring levels of debt issuance among tech companies have Wall Street on edge, but staff economists at the Federal Reserve aren’t that concerned yet.

The minutes released Wednesday from the Fed’s policy meeting last month revealed other risks that drew more concern, including stock prices.

“The staff judged that asset valuation pressures were elevated,” the Fed said. “Price-to-earnings ratios for public equities stood at the upper end of their historical distribution, reflecting...