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companies like Apple, Deere, and Walt Disney recently issued new bonds on the market, totaling $27...

companies like Apple, Deere, and Walt Disney recently issued new bonds on
the market, totaling $27 billion offering on a single day on Sep. 3
a) What explains such an increased activity in a corporate bond market?
b) How are companies using funds obtained from new bond sale?
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Answer #1

a) Such an increase indicates the need of the companies to get more inflow of money so that they can work on new projects, moreover it indicates the strength of the market and the economy today.

b) These funds obtained are being used to develop new products, explore different country’s economies, and to focus more on research and development, as in today’s world things are getting changed pretty fast, so these companies are also focusing on creating products that are to be needed in time.

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