Monday, March 12, 2007

Stock Buybacks


Net issuance of equities (new issues minus buybacks) by non-farm US corporations has reached a record -$602 billion, a fourteen-fold increase in net corporate buybacks since 2003, financed by a record assumption of $437 billion in new debt. Is it any wonder that the S&P 500 bottomed out in 2003 and has been rising since ?

No comments: