As forecast, the Merger and Acquisition trend which we have been long reporting would peak when the Federal Reserve would aggressively raise interest rates and cut off the cheap money supply. That time has come. Indeed, the higher interest rates rise, the less M&A activity now and in the future.
Category: 25 April 2023
SPOTLIGHT: OFFICE BUILDING BUST
In this section:
● Pension Funds Lose Billions in Commercial Real Estate Bust
● Insurance Firms to Office Building Owners: You’re on Your Own
● Manhattan’s Largest Office Landlord Disappoints Analysts
SPOTLIGHT: REAL ESTATE
In this section:
● Home Foreclosures Soar 22 Percent in First Quarter
● Home Sales Slipped Again in March
● Home Prices Fall Most Since 2012
AUSTRALIA’S CENTRAL BANK WILL UNDERGO MAJOR REFORM
After being criticized for not warning the public about impending changes to its key interest rate and slow response to inflation, the Royal Bank of Australia (RBA) will undergo major reforms, including establishment of an interest rate-setting committee and a revamped culture, Australian treasurer James Chalmers announced last week.
U.K. INFLATION ABOVE 10 PERCENT: “OFFICIAL” BLAMES WORKERS OF SLAVELANDIA
Inflation in Britain ran at 10.1 percent in March, barely down from 10.4 percent in February and higher than the 9.8-percent average that analysts had expected.
ECB SHOULD CONTINUE HIKING RATES DESPITE BANKING CRISIS, OFFICIALS SAY
The European Central Bank (ECB) must ignore turmoil in the banking industry and continue raising its key interest rate to beat back inflation, a majority of the bank’s governing council members agreed at their 16 March meeting, the Financial Times reported.
EUROPE’S BANKS BRACE FOR LIQUIDITY PINCH AS LOANS COME DUE
In late June, European banks are due to repay €478 billion in loans—equivalent to about $525 billion—to the European Central Bank (ECB).
EUROZONE SEES FIRST-QUARTER GROWTH CONTINUE IN APRIL
Initial data indicates that the 19-member Eurozone’s economy expanded in this year’s first quarter, skirting the recession that many analysts had predicted.
WHEN THE ECONOMY FALLS JOBS GO WITH IT
This is week 36 of our reporting the long trend-line of layoffs that signal recession in a country near you. And now, with The Street betting that the Federal Reserve will raise interest rates 25 basis points on May 3rd, the economy will slow down and the job cuts will increase. Here are the latest list of job cuts:
OBSCURE FEDERAL HOME LOAN BANKS WERE LIFELINE IN BANKING CRISIS
The 11 federal home loan banks (FHLBs), an obscure corner of the government’s financial apparatus, played a key role in saving banks from possible failure during the March banking crisis triggered when Signature and Silicon Valley banks failed at the same time.