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Nevilledog

(53,985 posts) Fri Apr 4, 2025, 07:16 PM Apr 4

Trump shares wild claim that investor backs president crashing market

https://www.cnbc.com/2025/04/04/buffett-denies-social-media-rumors-after-trump-shares-wild-claim-that-investor-backs-president-crashing-market.html

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https://archive.li/Ep8RI

Warren Buffett went on the record Friday to deny social media posts after President Donald Trump shared on Truth Social a fan video that claimed the president is tanking the stock market on purpose with the endorsement of the legendary investor.

Trump on Friday shared an outlandish social media video that defends his recent policy decisions by arguing he is deliberately taking down the market as a strategic play to force lower interest and mortgage rates.

“Trump is crashing the stock market by 20% this month, but he’s doing it on purpose,” alleged the video, which Trump posted on his Truth Social account.

The video’s narrator then falsely states, “And this is why Warren Buffett just said, ‘Trump is making the best economic moves he’s seen in over 50 years.’”

The president shared a link to an X post from the account @AmericaPapaBear, a self-described “Trumper to the end.” The X post itself appears to be a repost of a weeks-old TikTok video from user @wnnsa11. The video has been shared more than 2,000 times on Truth Social and nearly 10,000 times on X.

*snip*

11 replies

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Highlight:

Trump shares wild claim that investor backs president crashing market (Original Post) Nevilledog Apr 4 OP

If they are willing to lose all their money.......... Lovie777 Apr 4 #1

The truth is that Buffet steadily in advance of tRump sold stock and raised cash. He kept half of it. Bernardo de La Paz Apr 4 #2

Here is the exact statement Bluetus Apr 4 #5

Thx. At another CNBC link at that link, I found some more background Bernardo de La Paz Apr 4 #8

Good info. One interpretation ... Bluetus Apr 4 #10

"Trumper to the end." Demovictory9 Apr 4 #3

So whose lying? BlueKota Apr 4 #4

Damn, you ask such hard questions. Biophilic Apr 4 #6

🤣 BlueKota Apr 4 #7

Buffet is quoted in Project 2025 tariff scheme Blue Full Moon Apr 4 #9

This message was self-deleted by its author bhikkhu Apr 4 #11

Lovie777

(17,864 posts)

1. If they are willing to lose all their money..........

Reply to Nevilledog (Original post)

Fri Apr 4, 2025, 07:18 PM

Apr 4

ok then.

Bernardo de La Paz

(54,534 posts)

2. The truth is that Buffet steadily in advance of tRump sold stock and raised cash. He kept half of it.

Reply to Nevilledog (Original post)

Fri Apr 4, 2025, 07:26 PM

Apr 4

I'm talking about his company, not his own wealth.

He invested about half of the cash in five Japanese equity management companies that are aligned with his famous investing principles.

Buffet's Berkshire Hathaway kept about half the cash, about $300 billion. It holds hundreds of billions of dollars of stock, the biggest holding being Apple, which his company acquired over many years.

It says quite a bit about Buffet's system and his acumen that he was in such a nimble position. I don't know how much of the selling was after the November election.

Bluetus

(907 posts)

5. Here is the exact statement

Reply to Bernardo de La Paz (Reply #2)

Fri Apr 4, 2025, 07:33 PM

Apr 4

https://www.cnbc.com/2025/04/04/buffett-denies-social-media-rumors-after-trump-shares-wild-claim-that-investor-backs-president-crashing-market.html

Bernardo de La Paz

(54,534 posts)

8. Thx. At another CNBC link at that link, I found some more background

Reply to Bluetus (Reply #5)

Fri Apr 4, 2025, 07:48 PM

Apr 4

The 94-year-old CEO of Berkshire Hathaway sold more stocks in the latest quarter and grew a record cash pile even larger to $334 billion, but failed to explain in his highly anticipated annual letter why the investor known for his astute equity purchases over time was seemingly battening down the hatches.

Instead Buffett said that this posture in no way represented a move away from his love for stocks. “Despite what some commentators currently view as an extraordinary cash position at Berkshire, the great majority of your money remains in equities,” Buffett wrote in the 2024 annual letter released Saturday. “That preference won’t change.”

Shareholders will have to wait a little longer it seems as the Omaha-based conglomerate net sold equities for a ninth consecutive quarter in the final period of last year, according to the company’s annual report, which was also released on Saturday.

All told, Berkshire sold more than $134 billion worth of stocks in 2024. This is mainly due to the shrinking of Berkshire’s two largest equity holdings — Apple and Bank of America.

Bluetus

(907 posts)

10. Good info. One interpretation ...

Reply to Bernardo de La Paz (Reply #8)

Fri Apr 4, 2025, 08:20 PM

Apr 4

First, Buffet is smart enough to not be drawn into to one of Trumps toddler-level shit-fits.

Regarding asset allocation, when BRK says the great majority remains in equities, of course that will be the case. They are not a mutual fund. They are an investment company. They are actively involved in the companies where they have a big ownership position. This is companies like GEICO, Burger King, Kraft, Duracell and many others. Buffet's philosophy has always been long-term ownership. They do occasionally sell their shares. For example, they were early investors in BYD, which is now by far, the biggest EV maker in the world. They recently greatly reduced their share of BYD.

With that in mind, when they make deliberate moves to load up on cash, this is not a casual thing. They are judging that some of the companies in which they had a major stake are not likely to do well over the next several years, and they would rather have their funds more liquid so that they can quickly take a big stake in companies that are likely to become under-valued as Trump crashes the economy and markets.

This isn't too much different from what mutual fund managers do, but BRK has a deeper and longer-term commitment to the companies it invests in. I doubt they would ever have anywhere close to 50% of their assets on the sidelines. But in recent months, they really have shifted to record levels of liquidity.They have about $300 bn liquid out of total assets of $1.2 trillion.

https://www.cnbc.com/2025/04/04/buffett-denies-social-media-rumors-after-trump-shares-wild-claim-that-investor-backs-president-crashing-market.html