Warrren Buffett on the economy

[I'm Gone 60]

I respect Buffett's opinion more than I do all of the naysayer journalists and annalists.

Buffett said he doesn't regret writing a commentary in the fall encouraging people to buy U.S. stocks. I guess that was one of his respected opinions? LOL

Any chance of giving VJ members a deal on Window 7?

I'll think about it. LOL

[spookyturtle 9,465]

I respect Buffett's opinion more than I do all of the naysayer journalists and annalists.

Buffett said he doesn't regret writing a commentary in the fall encouraging people to buy U.S. stocks. I guess that was one of his respected opinions? LOL

Any chance of giving VJ members a deal on Window 7?

I'll think about it. LOL

Thanks for the consideration. Did you pick I Quit as a username when you retired from the day to day running of Microsoft? And I'd really like the inside scoop on Steve Ballmer. Do you think he's doing a good job?

[mawilson 2,133]

Buffett said he doesn't regret writing a commentary in the fall encouraging people to buy U.S. stocks, but he joked that in hindsight he wishes he'd waited a few months to publish the piece. Since that commentary appeared on Oct. 17, the Dow Jones industrial average has fallen from 8,852.22 to close at 6,626.94 on Friday.

Yeah, big fukcing genius of Omaha. Invested $3 billion in GE at $22.25 a share which is now worth $7.40

(and going to zero.) Bought $5 billion of Goldman Sachs common stock at $115 per share, now worth $74.

Who's sucking wind now, Warren?

Edited March 10, 2009 by mawilson

[spookyturtle 9,465]

Buffett said he doesn't regret writing a commentary in the fall encouraging people to buy U.S. stocks, but he joked that in hindsight he wishes he'd waited a few months to publish the piece. Since that commentary appeared on Oct. 17, the Dow Jones industrial average has fallen from 8,852.22 to close at 6,626.94 on Friday.

Yeah, big fukcing genius of Omaha. Invested $3 billion in GE at $22.25 a share which is now worth $7.40

(and going to zero.) Bought $5 billion of Goldman Sachs common stock at $115 per share, now worth $74.

Who's sucking wind now, Warren?

You. He's still got tens of billions and when this recession ends he will have more than he started with. He's not worried, why should he be? He's got more millions than you have posts here.

[Ban Hammer 13,337]

Did you pick I Quit as a username when you retired from the day to day running of Microsoft?

it was related to a vj member, noob.

[mawilson 2,133]

You. He's still got tens of billions and when this recession ends he will have more than he started with. He's not worried, why should he be? He's got more millions than you have posts here.

What a dumb thing to say. He still has money left so he shouldn't be worried about losing 10 or 20 billion dollars?

[w¡n9Nµ7 §£@¥€r 123]

Did you pick I Quit as a username when you retired from the day to day running of Microsoft?

it was related to a vj member, noob.

This Obama thing appears to be pulling Mike out of retirement, one post at a time.

[almaty 19]

i am glad he is back...always mr. md young, to me..

[HAL 9000 96]

You. He's still got tens of billions and when this recession ends he will have more than he started with. He's not worried, why should he be? He's got more millions than you have posts here.

What a dumb thing to say. He still has money left so he shouldn't be worried about losing 10 or 20 billion dollars?

Hey m how's it hanging?

I got a few billion to play around with too. Let me see about buying low right now... I somehow suspect Mr. Buffet will be very happy when all this stock hoopla is done with.

[Ban Hammer 13,337]

Did you pick I Quit as a username when you retired from the day to day running of Microsoft?

it was related to a vj member, noob.

This Obama thing appears to be pulling Mike out of retirement, one post at a time.

i'm glad to see him posting again

[w¡n9Nµ7 §£@¥€r 123]

stock hoopla? lol

[NickD 202]

Certainly no shortage of opinions on the economy, can watch any of a number of them on cable, switch on the radio, read newspapers, and even plow the net.

But are these just opinions? And do all these guys expressing zillions of opinions have any affect on what is done about it? Or is it all just BS?

Happen to switch my car radio on yesterday, some democrat congressman was on blaming the economy on the previous administrations for only protecting the super rich. Are republicans handing out BS to continue to protect the rich? Then goes on to say that the rest of us are paying for it.

Can agree with that, with an upper middle class income, really being butchered in taxes and increased energy costs, tripled over the last eight years, have records of that to prove it and paying a much higher tax rate. I feel this more closely defines the republican party, practically all the wars we had in the last forty years were started by republicans, and comments about that. Trying to get money for their government contractor buddies? What really amazes me is a dirt poor die hard republican, sure have a bunch of those running around. Or are they really dirt poor?

I don't know, feel safe in believing not to trust any politician, after all, most are attorneys and attorneys are trained to lie convincing, have to do that just to defend.

Heard on the news this morning about another massive bombing attack in Iraq and still feel we should get the hell out of there. So what if they have a civil war, we had one, was good for this country where frustrations can be released by brother killing brother. And really great if you don't have to personally fight in a war, but sit in a safe protected area with zillions of bodyguards around you. Can even make a few bucks off of it.

So what is the truth? I am convinced that 99% of what we hear or read is all BS. Have to also consider the motivation of those expressing these opinions, and is it really good for the country or for their pockets?

[F23 0]

http://money.aol.com/news/articles/_a/bbdp...fell-off/374584

There is a video there and a few other things that don't work when I copied and pasted...That is where it say skip over this content.

Warren Buffett Says Economy Fell Off CliffBy JOSH FUNK, AP

posted: 2 HOURS AGOcomments: 992filed under: Financial CrisisPrintShare

Text SizeAAAOMAHA, Neb. (March 9) - Billionaire Warren Buffett remains confident that America's best days are ahead, but he says the nation likely will face higher unemployment and eventually inflation because of the current economic crisis. Buffett said the nation's leaders need to emphasize a consistent message, and they should support President Barack Obama's efforts to repair the economy because fear is dominating Americans' behavior.

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Buffett said the economy has basically followed the worst-case scenario he envisioned six months ago.

"It's fallen off a cliff," Buffett said Monday during a live appearance on cable network CNBC. "Not only has the economy slowed down a lot, but people have really changed their habits like I haven't seen."

Buffett said the changes are reflected in the results of Berkshire Hathaway Inc.'s subsidiaries. He said Berkshire's jewelry companies have suffered, but more people have been willing to switch to Geico to save money on car insurance. The three-hour-long interview aired from another Berkshire subsidiary that has been hampered by the economy, the Nebraska Furniture Mart store in Omaha.

He predicted that unemployment will climb a lot higher before the recession is done, but he also reiterated his optimistic long-term view: "Everything will be all right. We do have the greatest economic machine that man has ever created."

Fear and confusion have been driving consumer and investor behavior in recent months, Buffett said.

The nation's leaders need to clear up the confusion before anyone will become more confident, and he said all 535 members of Congress should stop the partisan bickering about solutions. He said politicians should also stop trying to use the current economic crisis to force through other policy changes.

"We ought to defer most of the things that get people riled up," Buffett said.

Skip over this content Buffett said he believes patriotic Republicans and Democrats will realize the nation is engaged in an economic war.

"What is required is a commander in chief that's looked at like a commander in chief in a time of war," Buffett said.

Whatever the government does to help the economy will likely benefit some people who made poor financial decisions, but Buffett said Americans should realize that everyone is in the same boat.

"The people that behaved well are no doubt going to find themselves taking care of the people who didn't behave well," Buffett said.

The current efforts to help revive the economy are likely to produce inflation that could be worse than what the country suffered in the late 1970s, Buffett said.

But even though the nation will have to pay for current policies with future inflation, Buffett said, the U.S. government still needs to act.

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What's in Buffett's Portfolio?Alex Wong, Getty Images34 photos "Be fearful when others are greedy, and be greedy when others are fearful," goes Warren Buffett's cardinal rule of investing. What's the billionaire invested in now? Click through the gallery for a glimpse at the Oracle of Omaha's portfolio as of Dec. 31.(Note: Please disable your pop-up blocker)

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"We're in a big war, and we're going to use money to fight it," he said.

Maintaining faith in the nation's banking system will be important to restoring the economy's health, Buffett added. He said President Barack Obama needs to make it very clear that consumers won't lose money in banks even if more fail.

"If you don't trust where you have your money, the world stops," Buffett said.

Most banks are in good shape, Buffett said, and even some of the troubled banks will be able to remedy their problems over time by reducing dividends and collecting the difference between interest payments they receive on loans and the interest they pay on deposits.

"The banking system largely will cure itself," Buffett said.

A little over a week ago, Buffett released his annual letter to shareholders describing the worst of his 44 years at the helm of Berkshire. The Omaha, Neb.-based company reported sharply lower profit because of its largely unrealized $7.5 billion investment and derivative losses.

Overall, Berkshire's 2008 profit of $4.99 billion, or $3,224 per Class A share, was down 62 percent from $13.21 billion, or $8,548 per share, in 2007.

Berkshire's fourth-quarter numbers were even worse. Buffett's company reported net income of $117 million, or $76 per share, down 96 percent from $2.95 billion, or $1,904 per share, a year earlier.

Buffett said he doesn't regret writing a commentary in the fall encouraging people to buy U.S. stocks, but he joked that in hindsight he wishes he'd waited a few months to publish the piece. Since that commentary appeared on Oct. 17, the Dow Jones industrial average has fallen from 8,852.22 to close at 6,626.94 on Friday.

Buffett stands by his overall advice that owning stocks over time will profit people greater than so-called safe investments.

"Overall, equities are going to do far better than U.S. government bonds at these prices," he said.

Buffett said he doesn't regret investing $8 billion of Berkshire's money in investment bank Goldman Sachs Group Inc. and conglomerate General Electric Co. last fall. Both companies gave Berkshire preferred shares paying 10 percent interest that Buffett said he doesn't think he could get now.

Buffett also said on CNBC:

That General Motors Corp. needs a new business plan to survive because its costs are too high, but it's difficult to predict how a solution will be reached. "You are in a terrible, terrible time period for the car makers every place."

Berkshire has made several large investments over the past year and reduced its cash on hand to $24.3 billion at the end of 2008. Buffett said that means Berkshire will likely write fewer insurance policies on catastrophic events in 2009 because he wants to make sure the company always has at least $10 billion on hand.

"My job is to be absolutely sure Berkshire doesn't need help from anyone in the worst of times," Buffett said.

Any deal negotiated last summer made the sellers very happy and the buyers unhappy today. That's part of why Buffett said Dow Chemical Co.'s $15 billion bid to buy rival chemical maker Rohm & Haas Co. has not been consummated. "The world has changed like nobody ever believed it would," he said.

But Buffett said the $3 billion Berkshire committed to the Dow deal remains solid if the two chemical companies can agree on how to close the deal.

Berkshire owns a diverse mix of more than 60 companies, including insurance, furniture, carpet, jewelry, restaurants and utility businesses. And it has major investments in such companies as Wells Fargo & Co. and Coca-Cola Co.

Copyright 2009 The Associated Press. The information contained in the AP news report may not be published, broadcast, rewritten or otherwise distributed without the prior written authority of The Associated Press. Active hyperlinks have been inserted by AOL.

2009-03-09 06:42:10

[spookyturtle 9,465]

You. He's still got tens of billions and when this recession ends he will have more than he started with. He's not worried, why should he be? He's got more millions than you have posts here.

What a dumb thing to say. He still has money left so he shouldn't be worried about losing 10 or 20 billion dollars?

I bet he gets it all back and more. He's not panicking like the rest or Wall Street.

[spookyturtle 9,465]

Did you pick I Quit as a username when you retired from the day to day running of Microsoft?

it was related to a vj member, noob.

I don't know who he/she is. I was making a joke about his name in relation to what he posted.