Dow-DuPont deal would be tough nut for interlopers

March 7, 2016

German chemical giant BASF may be considering a counterbid for U.S. rival DuPont. The price would have to include a whopping premium – and cover a $1.9 bln break fee. The tax benefits alone could make the agreed-upon $130 bln union and spinoff with Dow Chemical close to ironclad.

Dow-DuPont tax acrobatics more clever than cagey

December 15, 2015

The chemical giants’ $130 bln merger and split should avoid any tax on capital gains. One needed contortion is to show that the shareholder rosters overlap. Dodges like so-called inversions have caught flak lately, but this looks more like a convenient fit with byzantine rules.

Happy stock highs belie bonds teetering on edge

February 21, 2012

With the Dow Jones industrial average crossing the 13,000 level for the first time since before the crisis and Britain’s FTSE 100 index headed toward 6,000, equity investors are smiling. Many may be wondering if the run can be sustained. But debt buyers may face the real danger.

Just don’t tell markets it’s not a V-shape

October 15, 2009

The gains in risky markets, and to some extent, safer ones, continue to be driven by the aftershocks of government policy rather than the deep roots of a recovery. Some of that reality may be starting to dawn on investors