ANALYSIS: IPOs Hit Skids; Has Market Reached SPACuration Point?

Many of us might feel a little whiplash after last quarter’s significant decline in the IPO market.

A combination of the worst inflation in 40 years, the beginning of an expected long period of continual interest rates increases by the Federal Reserve, and a raft of uncertainty attributable to global crises (e.g., war in Ukraine, sanctions on Russia, including oil and gas scarcity, a continuing pandemic, rapidly worsening global warming, supply chain disruptions) have subdued an amazing run in IPOs since government efforts began in earnest to mitigate the economic effects of the pandemic.

SPAC IPOs—which still represent more than ...