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FBN's Liz MacDonald with news that US companies like Apple and GE are sitting on nearly $5 trillion in cash.
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And the kinda lose McDonald is here with some rule numbers aren't yet that's right five trillion -- -- -- GD is sitting on about.
136 billion dollars in cash.
And what's called cash equivalents and it's treasuries securities taken some pretty quickly so -- has more cash on the balance sheet by the way has GE capital which is senator -- bank.
Then the size of the entire economy is -- -- roost and Slovakia and also eight oil producing countries as well so.
You know -- the issue despite turning cash why companies sitting on its gigantic MS -- that.
Yet that's a good question but let's define this festival you talk about a fortune 500 companies right but if it a lot of tighter five outside of our -- Yes and 500 noticeable difference that recipe 50500.
Largest corporations and us as America.
They got five trillion dollars a threat double what it was last year that's right why why is this is such -- why.
Buildup of -- you know if it it's it's not much of a head scratch -- it's because of economic uncertainty.
And policies among the swimming equities that is it put it to would -- -- -- he wanted to expand that's right you know politicians in stamp and scream all they want to -- -- -- shouting into field of -- -- they're gonna try to not give incentives to companies to deploy that cash.
A companies that are sitting tight for now is a lot of that money overseas.
Well there's a big chunk of it Moody's has estimated 230 billion from a non financial companies.
Are sitting part of the billion that's -- that's that are available on the sidelines and it was a small slice of the corporate.
-- And companies that they've looked at Moody's they -- China's bigger than the size of India or Japan and twice the size of Russia so how do you get companies to deploy that cash.
You know to create jobs I mean that's a big deal or they gonna issue dividends athletically.
Apple has not had a dividend since 1985 it had -- and 87 and killed in 95 -- when it was struggling you know will apple is a good dividend this year and except that apple.
So about -- 81 billion inflow into the economy via dividend payments in fact if these companies chose to do that that's right or stock buybacks you know or acquisitions in the headlines have all been dominated.
About fiscal and -- about fiscal monetary stimulus not really am an activity or IPOs.
Or stock buybacks and dividends from the likes of companies like apple but people are watching apple right capital the bull and look at other popular Zoete I don't know do you think they will just I think think the yes they -- 3% -- -- dividend for apple.
It certainly would be that will be twelve dollars and -- I wouldn't someone quick math for you yeah.
-- not -- know math on the show roped into -- -- thank you very much indeed -- don't itself the highlight real is next.
