Global merger and acquisition activity continues to show resilience despite uncertainty in financial markets.

According to data highlighted by Reuters Breakingviews, U.S. merger activity has risen significantly this year as companies pursue strategic acquisitions to strengthen their market positions and expand into new business segments.

Investment banks have benefited from increased advisory work as companies seek growth opportunities through acquisitions rather than relying solely on organic expansion.

Financial institutions also reported continued demand for capital market services despite higher interest rates and economic uncertainty.

Analysts said sectors including technology, healthcare and financial services remain the most active for mergers and acquisitions.

Companies are focusing on deals that improve operational efficiency, increase market share and strengthen technological capabilities.

Despite stronger deal-making, market participants remain cautious because geopolitical tensions, inflation and monetary policy continue affecting investor confidence.

Executives are carrying out more detailed due diligence before completing major acquisitions.

Financial experts expect merger activity to remain healthy during the second half of the year if financing conditions improve and corporate earnings remain strong.

Source: Reuters Breakingviews