Latest news with #Goldman Sachs
Bloomberg
16 hours ago
- Business
- Bloomberg
Goldman Sachs Sees M&A in Foothills of ‘Five-to-Seven' Year Recovery
Hi it's Crystal Tse and Liana Baker in New York, looking at Goldman Sachs' predictions for M&A through the rest or the year. Elsewhere, Union Pacific is exploring what could be the largest railroad deal ever. Today's top stories
Bloomberg
a day ago
- Business
- Bloomberg
Expect Three Fed Cuts This Year, Goldman's Dibo Says
Goldman Sachs' Matheus Dibo says the US labor market is showing "signs of softness." Speaking on Bloomberg Television, Dibo adds Goldman Sachs' base case sees the Fed cut rates "three times this year." (Source: Bloomberg)
Yahoo
a day ago
- Business
- Yahoo
Goldman Sachs And Barclays Join Forces To Fund A $395 Million Loan Backed By Amazon's Data Centers
Benzinga and Yahoo Finance LLC may earn commission or revenue on some items through the links below. Goldman Sachs (NYSE:GS) and Barclays (NYSE:BCS) have teamed up to issue a $395 million loan backed by a group of eleven Amazon distribution centers. The two banks jointly originated the debt, which will be bundled into a commercial mortgage-backed securities deal, CoStar News reports. Bond rating firm Moody's has already released an early analysis of the transaction, which is backed by approximately 1.55 million square feet of warehouse space, comprising a portfolio of single-tenant distribution centers with an average size of around 141,000 square feet. All the properties are leased solely to Amazon (NASDAQ:AMZN) and are co-owned by Stonemont Financial Group and Stonepeak Partners. Don't Miss: Named a TIME Best Invention and Backed by 5,000+ Users, Kara's Air-to-Water Pod Cuts Plastic and Costs — This AI-Powered Trading Platform Has 5,000+ Users, 27 Pending Patents, and a $43.97M Valuation — The Importance Of Last Mile Distribution The type of last-mile distribution hubs involved in this deal has become increasingly valuable to Amazon's supply chain, enabling the e-commerce giant to offer high-speed delivery options throughout the U.S. Amazon leases each of the properties, which have an average expiration term of 9.8 years, under separate agreements. Amazon has recently been aggressively expanding its industrial real estate footprint, adding both distribution centers and data centers to its portfolio to stay ahead of the growing demand for e-commerce and AI. Part Of Amazon's Aggressive Infrastructure Increase In April, Amazon announced that it was investing $4 billion in rural America to expand its delivery network. According to a study by Amazon and the University of Pennsylvania's Wharton School of Business, when Amazon opens a facility, the median household income in the county increases by $1,225 per year. Additionally, poverty rates decrease by an average of 3.3%. Trending: With Point, you can Amazon announced plans to invest at least $20 billion in Pennsylvania in early June, following its previous announcements of $10 billion for North Carolina and $5 billion for its new cloud infrastructure in Taiwan. The Growing Trend Of Infrastructure Securitization The deal underscores a growing trend of capital flowing into physical infrastructure and logistics assets through securitization, according to Reuters. Insurers like Prudential and MetLife (NYSE:MET) are deploying huge pools of capital into structured assets offering stable, higher-yield alternatives to government bonds. , Getting Creative To Circumvent Tightening Lending Standards Reuters reports that many banks significantly tightened lending standards in 2023, particularly affecting commercial and industrial loans. As alternatives, property owners increasingly turned to structured financing like CMBS. The Federal Reserve's Senior Loan Officer Opinion Survey for Q1 2025 reported, 'tighter lending standards and weaker demand for commercial and industrial loans to firms of all sizes,' marking the most significant tightening outside the pandemic period. Commercial real estate brokerage, JLL highlighted a growing trend for single-asset single-borrower transactions, which often back large-scale industrial and logistics assets. From January to August 2024, industrial deals accounted for over 33% of SASB volume, up from just 7% in 2023. This growth reflects lender and borrower confidence in financing prized logistics properties through CMBS Read Next: Warren Buffett once said, "If you don't find a way to make money while you sleep, you will work until you die." Here's , starting today. Image: Shutterstock This article Goldman Sachs And Barclays Join Forces To Fund A $395 Million Loan Backed By Amazon's Data Centers originally appeared on Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
2 days ago
- Business
- Yahoo
The college degree ‘safety premium' is almost gone—but mainly because so many non-grads have given up looking for work
For decades, a college degree was seen as a near-guarantee of better job prospects and economic security. But new analysis from Goldman Sachs reveals a striking reversal: The labor market for recent college graduates has weakened to the point where their traditional edge over non-degree peers is at historic lows. The team led by Goldman's chief economist Jan Hatzius asked themselves: Are recent college graduates having a hard time finding jobs? Well, yes: 'Recent data suggests that the labor market for recent college graduates has weakened at a time when the broader labor market has appeared healthy.' The team was able to draw out three long-term trends by comparing college grads' job-market performance to non-college grads, with suggestive findings about the so-called 'safety premium' of higher education. The shrinking 'safety premium' of a college degree The Goldman team found a narrowing gap in unemployment rates between recent college graduates and young workers without a degree. In May 2025, the unemployment rate for native-born college graduates aged 22–27 stood at 3.8%, up from the typical 3.3% seen during periods of full employment. Over the past year, the 12-month average for this group rose to 4.6%. But the real story is in the comparison: The unemployment 'safety premium' for college grads—how much less likely they are to be unemployed compared to non-degree peers—has shrunk to just -2.8 percentage points, well below the -4.1 point average in previous strong labor markets. This means that, while college grads are still less likely to be unemployed than non-degree holders, the advantage is now marginal. The gap is the smallest it's been in decades, raising questions about the enduring value of a college education in today's economy. Weak job-finding rates for grads Another troubling trend is the decline in job-finding rates for recent graduates. Historically, college grads could expect to find work more quickly than their non-degree peers. But over the past decade, this gap has compressed dramatically. In 2025, the job-finding rate for college grads is just 0.9 percentage points higher than for non-degree holders—a far cry from the 8.3 point gap seen in previous full employment periods. This compression is partly cyclical, reflecting a strong post-pandemic recovery in low-skill sectors like construction, manufacturing, and retail. But it's also structural: Industries that typically hire college graduates—such as information services, finance, and professional/business services—have seen sluggish job growth, making it harder for new grads to land jobs. Labor force participation: a mixed picture While the unemployment gap has narrowed, the participation gap has widened. Since 1997, young workers without a college degree have become much less likely to even look for work, with their participation rate dropping by seven percentage points, compared to a two-point decline for college grads. A growing share of young people in both groups are out of the labor force because they are in school—a positive sign for long-term outcomes. But among non-degree holders, there's a worrying rise in those not working because they are 'unable to work' for reasons other than disability, illness, retirement, or childcare. This group has doubled over the past 30 years, indicating that some of the improvement in non-degree unemployment rates may be due to discouraged workers dropping out of the labor force entirely. For this story, Fortune used generative AI to help with an initial draft. An editor verified the accuracy of the information before publishing. This story was originally featured on Solve the daily Crossword
Bloomberg
3 days ago
- Business
- Bloomberg
Goldman Plans Deals to Put Private Investments in 401(k) Funds
Goldman Sachs Group Inc. is in talks to put its private-market investments into US retirement funds, a step to bringing the Wall Street firm's products to more mainstream investors as rules ease. 'We've been active discussions around partnerships with others in the retirement channel,' Chief Executive David Solomon said on an earnings call with analysts Wednesday. 'We see this as a pretty significant opportunity.'
