Sentiment Surges, Activity Follows

Sentiment indicators among public firms have shown a significant upward trend, with executives expressing increasing optimism about market conditions. A survey reveals that 70-80% of general partners anticipate heightened activity in the coming months. While actual market activity has remained inconsistent, recent data indicates a positive shift, particularly in private equity, where the value of deals has reached its highest levels since mid-2022. Notably, significant transactions, defined as those over $100 million, have risen from 25-30 monthly to approximately 35-40, suggesting that a bridging of the sentiment-activity gap is underway.