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| Is the Bottom Near? Viet-Nam considered better risk than Warren Buffet |
| 2009-03-06 |
| Have investors gotten so pessimistic that there are no bears left to sell and we are therefore due for an oversold bounce? Consider this: Berkshire Hathaway credit default swaps are now trading wider than Vietnam, according to Bank of America/Merrill strategist Michael Hartnett. Meaning that Berkshire bondholders need to pay more to protect themselves against default than those holding sovereign debt issued by Vietnam. Hartnett holds this up as just one example of the extremes he's seeing in the credit markets. Let me point you to an article in The Economist that states that some people in Vietnam are so scared about their economic prospects that they've resorted to drinking the blood of snakes, which is supposed to enhance "good fortune and sexual prowess." I do not see Warren Buffett resorting to such a tactic. But I do see that he has $24.3 billion in cash sitting around. |
| Posted by:Frozen Al |
| #1 Maybe this was his strategy to leave nothing to his kids. |
| Posted by: no mo uro 2009-03-06 20:56 |