Berkshire’s Charlie Munger just went and did it again…
The hypocrisy is endless. Counter-intuition is the norm. Observing financial markets requires a mirror image interpretation in an economic fun house.
Take Warren Buffet, for example. The darling of modern finance in a ten thousand dollar crumpled suit, he exemplifies every traders dream of beating the markets – buying low, selling high, and at the same time all that is frugal.
He remains a legend and a fervent “non-believer” in gold, though he was once a silver investor before the government called him out.
Jim Rickards has made it a part of his interview road show to point out that Warren Buffet is actually dumping dollars in a big way.
By his last two major acquisitions, Buffet is heavily invested in energy and transport.
Meanwhile, Buffet talks down gold as a way of protecting his interests and to bide time before everything falls apart.
Silver investors are likely familiar with Warren Buffet’s foray into physical silver, and how he was forced out of his 130 million ounce silver position in 2006- roughly the same time-frame as the launch of the silver ETF SLV.
Could buffet be attempting to re-enter the silver market, under the cover of solar energy?
MidAmerican Energy Holdings, a subsidiary of Berkshire Hathaway has announced a deal with SunPower to build two solar projects in California’s Antelope Valley totaling $2.5 billion- the largest solar project in history.
Perhaps our friend Blythe should take notice that production is scheduled to begin Q1 2013.
In a PBS interview with Charlie Rose Monday, Warren Buffett made the case for JP Morgan Chase CEO Jamie Dimon to become the next Secretary of the Treasury when Timothy Geithner steps down. Buffett stated, ”If we did run into problems in markets, I think he would actually be the best person you could have in the job”.
If Howard Buffett were alive today rather than turning 5,000 RPM in his grave, we suspect he might recommend Ron Paul as the best person you could have in the job.
Highlights of the Buffett interview below: