Warren Buffett

Charts Of The Week: 10 Reasons To Be Cautious In This Market

"First, 'record levels' of anything are records for a reason. It is where the point where previous limits were reached. Therefore, when a ‘record level’ is reached, it is not the beginning, but rather an indication of the maturity of a cycle. While the media has focused on employment, record stock market levels, etc. as a sign of an ongoing economic recovery, history suggests caution."

Frontrunning: February 21

  • Global Stocks and Bond Yields Rise (WSJ)
  • Despite Dissents on White House Policy, Mattis Holds Sway (WSJ)
  • Trump’s Travel Ban Won’t Hit the U.S. Economy, At Least This Year (BBG)
  • Pundit Brings ‘Global Jihadist Movement’ Theory to White House (WSJ)
  • HSBC Plunges After Missing Profit Estimates on Revenue Drop (BBG)
  • Euro-Area Economic Recovery Broadens as France Outpaces Germany (BBG)

Unilever Shares Soar After Kraft Heinz Confirms £112BN Takeover Bid; Options Confirm Leak

Unilever shares soared this morning after food conglomerate Kraft-Heinz, backed by Warren Buffett and Brazil's 3G, confirmed it made a £112bn takeover offer for Unilever, leading to a 11% surge in the shares of the London-listed Anglo-Dutch conglomerate, the biggest one day surge since 1987. Shares of Kraft Heinz rose over 4% premarket in New York.

Deep Thoughts From Howard Marks

"When things are going well people become greedy and enthusiastic, and when times are troubled, people become fearful and reticent. That’s just the wrong thing to do. It’s important to control fear and greed... Too little skepticism and too much eagerness in an up-market – just like too much resistance and pessimism in a down-market – can be very bad for investment results."