Mergers and Acquisitions Set Scary Record For May

Please read the quote from MarketWatch.com below and guess why this is bad.

fish_eat_fish

“U.S. mergers & acquisitions activity is on track for a record month in May, with $241.6 billion of deals already announced, topping the previous record of $225.8 billion announced in May 2007, according to Dealogic data.”

ANSWER: The previous record was just before the Great Recession.

Specifically, eighteen months later the Dow Jones Industrial Average (DJIA) was worth almost half of what it was in May 2007.

Here is a summary of why a recession is coming in plain English.

https://michaelekelley.com/2015/03/02/why-another-recession-is-coming/

Thanks to Team-Studer.net for the photo.

Advertisements

One thought on “Mergers and Acquisitions Set Scary Record For May

  1. Pingback: VIX Predicts Pits While Pundits Have Fits | Michael E Kelley

Please leave a reply

Please log in using one of these methods to post your comment:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s