Current event update: Saturday, may 2nd

By Yihan (Bradley) Tian

Today, the 2020 Berkshire Hathaway Annual Shareholders Meeting, commonly known as the largest investor gathering in the US, took place virtually without any physical attendants. 

During the meeting, CEO Warren Buffett shared his view on the status quo as well as on the future of the economy. 

Below are some noteworthy highlights:

Buffett supported Jay Powell’s decision pertaining to the release of Federal stimulus, stating that Federal aid helped unfreeze the credit market and avert exacerbations of large-scale panic.

Regarding the oil market: “when you got too much in storage it doesn’t work its way out of that fast.” Buffett predicts further declines in oil prices for the next few years.

Buffett also emphasized the detriments in operating earning may persist throughout or even beyond 2020. “I don’t know the consequences of shutting down the American economy,” Buffett said.  

Despite currently bearish trends, Buffett believes in the intrinsic strength of the US economy and an eventual recovery back to its former liveliness. 

The full livestream can be found on Yahoo Finance: https://finance.yahoo.com/brklivestream/