Posts tagged ‘market’

U.S. corporate treasuries are stuffed with a record amount of cash these days. In fact, the companies that make up the S&P 500 have $1.1 trillion of cash on their balance sheets. The standard explanation for this hoarding of cash is that corporate CEOs are extremely uncertain about the future, given the gridlock in Washington and the downgrade of U.S.the Bedding pain and pain radiating from the arms or legs. debt.A custom-made chicken coop is then fixed over the gums. Spending money now to develop their companies, they argue, is just too risky.
If that were true, why are the big boys with the biggest piles of cash so willing to part with it when they get locked in on a juicy acquisition target. This week’s stunning offer by Google to buy Motorola Mobility for $12.5 billion is a case in point. Is that not a risky move?
Google says no. [...]