Dealmaking slowdown threatens early end to M&A boom
Financial Times 2026-10-04 20:00:10
Context: The mergers and acquisitions (M&A) boom is showing signs of slowing down due to rising interest rates, anxiety over artificial intelligence (AI), and the upcoming midterm elections. This slowdown threatens to bring an early end to a record-breaking start to the year for dealmaking. As a result, the M&A market is experiencing a cooling of "animal spirits," or the instinctual urge to take bold action.
Key Facts
- The M&A market is experiencing a slowdown due to rising interest rates, AI anxiety, and the midterm elections, which is threatening to end the boom early.
- The slowdown comes after a record-breaking start to the year for dealmaking, suggesting a significant shift in market sentiment.
- Interest rate rises, AI anxiety, and midterm elections are cited as key factors cooling "animal spirits" in the M&A market.