The pace of corporate cash accumulation decelerated during the first quarter of 2013, according to April 2013 AFP Corporate Cash Indicators™, a quarterly study that measures recent and anticipated changes in U.S. corporate cash balances. Fewer companies continued to build cash and short-term investment balances during the first quarter of 2013 compared to a year ago. Thirty-eight percent of respondents said they increased their balances of cash and short-term investments over the quarter, whereas 28 percent said they reduced their cash and short-term investment balances. This +10 reading (38% minus 28%) is down a bit from the +13 reading of Q1/2012.

The forward looking indicator measuring expectations for increasing cash during the second quarter of 2013 remained negative as it ticked down a point to -5, which was only its third negative reading recorded in the history of the AFP CCI™.

 

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