This is a exchange is at Goldman Sachs, where we discuss developments currently shaping markets, industries, and the global economy.

I'm Allison Nathan, a senior strategist within Goldman Sachs research.

Today we're diving into the latest in the industrial sector, which includes everything from housing and manufacturing to machinery

and airlines, and is a space that seeing a surge in activity.

To do that, joining me is Matt McClure, co-head of the Global Industrial's group in the Invest in Banking Division here at the firm. Matt in September, and at that time, the window for M&A activity was really just starting to open up again

as companies were beginning to position themselves for the post-pendemic economy.

That momentum has since accelerated.

We've seen record volumes of M&A,

we've seen some very large transactions.

Talk about the activity you've been seeing

in the industrial sector.

Well, to start, obviously there's been a continued shift in sentiment and a return of

confidence amongst the industrial companies since we last talked with the impact of

COVID increasingly in the rearview mirror.

Corporates are frankly risk on when it comes to allocating capital to M&A.

Their conviction and the strengths of the economic recovery,

continued low-rate environment environment coupled with shareholder

receptivity to transactions have really created ideal

conditions for deal making.

So put that in context we've seen record levels of

industrial's M&A activity this year with volumes increasing 160% year over year and transaction

M&A count up something like 140%. So activity levels remain high across all sectors in particular I would say

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