Andrew Sheets from Morgan Stanley forecasts a notable surge in global mergers and acquisitions (M&A) starting in 2024. This anticipated growth is fueled by several factors: current M&A activity is unusually low, the U.S. economy remains strong, there’s a significant amount of private capital available, and companies are sitting on substantial cash reserves. Additionally, the prospect of interest rate cuts is on the horizon. Although this year's M&A activity didn't meet earlier expectations due to uncertainties surrounding interest rates and the U.S. elections, those concerns have eased. However, this optimistic outlook hinges on sustained economic confidence, supportive policies, and the dynamics of a potentially more multipolar world.
