Mergers are famously disruptive for companies and employees. They also don’t always make business sense: About half of all combinations are considered financially unsuccessful, according to a 2003 study by the Federal Trade Commission.
U.S. stocks fell the most in 32 months this week, erasing the Standard & Poor’s 500 Index’s 2011 advance, as investors fled equities amid signs that the economy is stalling. An early rally faded yesterday as concern grew that S&P would cut the American credit rating, speculation which proved to be true after financial markets closed.
Oil fell from a 30-month high after the International Monetary Fund cut its growth forecasts for the U.S. and Japan, dragging down shares of energy producers and the Standard & Poor’s 500 Index. The difference between yields on Treasury 10-year notes and inflation-protected securities widened to the most in three years.
U.S. stocks rose, rebounding from a 1 percent decline in the Standard & Poor’s 500 Index, as lower- than-estimated claims for unemployment benefits helped offset losses by consumer and technology shares.
U.S. stocks advanced, sending the Standard & Poor’s 500 Index to a three-week high, as Home Depot Inc. drove consumer companies higher and energy shares rose amid speculation production will increase in the Middle East.