Warren Buffett Sees a ‘Red Hot’ Economy With Creeping Inflation

SourceYahoo News
SectorEconomy
CountryGulf

Oops!Something went wrong.Please try again later.Katherine ChiglinskyMay 2, 2021, 4:05 PM·5 min readOops!Something went wrong.Please try again later.

(Bloomberg) — Warren Buffett delivered a clear verdict Saturday on the state of the U.S. economy as it emerges from the pandemic: red hot.

“It’s almost a buying frenzy,” the Berkshire Hathaway Inc. chief executive officer said during the conglomerate’s annual meeting, which was held virtually from Los Angeles.

“People have money in their pocket and they’re paying higher prices,” he said.

Buffett attributed the faster-than-expected recovery to swift and decisive rescue measures by the Federal Reserve and U.S. government, which helped kick 85% of the economy into “super high gear,” he said. But as growth roars back and interest rates remain low, many — including Berkshire — are raising prices and there is more inflation “than people would have anticipated six months ago,” he said.

Buffett reunited with his long-time friend and business partner Charlie Munger for this year’s meeting. Munger didn’t make it to...read more...