Weak dollar may revive slumping U.S. M&A market (This is good?)

[54anickel]

Wouldn't this be like selling the farm? I don't get it. All this economic "stuff" is making my head "spin". This is the LAST econ related post from me for awhile. Just too confusing.

http://www.forbes.com/work/newswire/2003/12/04/rtr1169806.html

NEW YORK, Dec 4 (Reuters) - A weak dollar may be just the tonic needed to inject life into a sluggish U.S. mergers and acquisitions market, analysts and bankers say.

The dollar fell to fresh record lows against the euro on Thursday with the euro buying around $1.2155 <EUR=>, making U.S. assets cheap for Europeans....

Bankers expect European and Japanese companies to use the purchasing power of their appreciated currencies to go shopping for bargains in the world's largest economy, lured by an anemic greenback and encouraged by signs of improving growth in both the U.S. and their own economies. They noted that the outlook is particularly encouraging in the global technology and telecommunications sectors.

[frylock]

1. war is peace, freedom is slavery..

weakness is strength. Now shaddup and eat yer choco-rations.

[izzie]

14. Right on. The gov always tells us it is good.

Even when it is bad it is good. How can no country being interested in putting money in this country be good, but some how it is now that.

[denverbill]

2. Mergers and acquisitions. Yeah, THERE'S a good idea </sarcasm>

Have you ever known a merger to PRODUCE jobs? Most mergers end up fucking over both the acquirer and the acquiree. AOL-Time Warner, Qwest-US West, HP-Compaq, you name it. The acquirer overpays and is stuck with an enormous debt and underperforming asset, the employees get screwed because the 'consolidation' invariably leads to layoffs, the shareholders get screwed because the stock of the acquirer inevitably plummets. The ONLY people to benefit are the CEO's who give themselves enormous bonuses for doing the deal, and the investment bankers and lawyers who craft the deal.

[pocoloco]

3. Wow! What a great economics lesson!

And it only took one paragraph to hit the nail on thr head!Kudos!!

[louis-t]

5. Not to mention...

Daimler-Chrysler

[54anickel]

4. Thanks frylock and denverbill for posts 1 & 2. So I'm NOT loosing it?

[denverbill]

6. Hell no you're not losing it.

Look at this quote:

"A weak dollar may be just the tonic needed to inject life into a sluggish U.S. mergers and acquisitions market, analysts and bankers say."

Who says? Analysts and bankers, not coincidentally, the exact sort of people who actually benefit from the M&A activity.

[54anickel]

7. DOH! I was sitting in the wrong section of the bleechers again,

wondering what those cheerleaders were saying!
Thanks.

:think:

[UpInArms]

8. nalysts and bankers, not coincidentally,

the exact sort of people who actually benefit from the M&A activity.

ah, yes,

until their corp or bank gets "taken over" and eaten up and then, they too - are out on the streets.

Since we are harkening (Harken?) back to the 80s in a hurry - anyone else remember all the Savings and Loans going away?

Banks going away?

now we have what 5 - 10 "banks"

Citigroup
$668 Billion

BankAmerica
$618 Billion

Chase
$366 Billion

Bank One
$261 Billion

JP Morgan
$261 Billion

First Union
$237 Billion

Wells Fargo
$202 Billion

Fleet Financial Group
$104 Billion

KeyCorp
$80 Billion

PNC Bank
$77 Billion

- but just like everycity USA - there are these guys there whilst the "hometown" bank has been gobbled up into the belly of the beast.

And then, when services are duplicated - they just shut down branches and lay those guys off, too.

Last one out should remember to turn off the lights.

[Just Me]

9. Objective,..."M-O-N-E-Y",...

,...must persuade all people to put their dollars into our pockets,...encourage PMA (positive mental attitude) and a belief in the system we created (to make us look good and you look stupid) while we rip you off blind ('cause you're dumb, we're smart, you're poor, we're rich, you're worthless, we're grateful, you're small, we're big, you're screwed, we're satisfied),...

,...or something along those pure-greed and arrogance lines of thinking,...

[Just Me]

11. Post Note,...

,...isn't this looking more and more familiar,...like,...something that keeps happening over and over again,...with the same "blood" lines rearing their ugly heads?

[aquart]

10. So everything American will be foreign-owned?

And this is in our interests in what way?

Unless of course THESE corporate donors insist the gov't shoulder health care like it does in the rest of the westernized world.

[Capn Sunshine]

12. America IS "Foreign Owned"

in fact, the liefblood of our economy DEPEND on us selling our government debt to foreigners.

How anyone can argue that weakinging these investmenst and creating a sellers market ( thereby spiking rates ) is GOOD for the economy is beyond me.

We're almost at "critical mass" with the dollar; if it gets much cheaper there is a point where the computer programs kick in and sell Treasuries and futures.

[aquart]

13. Good news is when WE buy THEM.

Basically, George is acting as a corporate raider. Having seized the United States in a hostile takeover, he is busily engaged in selling off its assets and downsizing its human resources.

[0007]

15. I guess its a good way to dump marked up automobiles, 'eh?