With $116 billion cash, Buffett says Berkshire needs ‘huge’ deals.
Warren Buffett on Saturday lamented his inability to find big companies to buy and said his goal is to make “one or more huge acquisitions” of non-insurance businesses to bolster results at his conglomerate Berkshire Hathaway Inc. Buffett said a “purchasing frenzy” binge by deal-hungry chief executives employing cheap debt has made that task difficult. Berkshire typically pays all cash for acquisitions. An Article from Reuters said.
After the strong breakout last January, the #SPX traded as low as the Oct ’16 Low causing the VIX to trade as high as 50. The new volatility environment forced traders to adjust to high OPTION PREMIUM.
#SPX traded right to the middle of the regression line and so far is negative for the month with a few more days to end February.
The daily chart shows how we traded to 2532 (~12% in 10 days) and we have already recover 9% in 9 days for the bottom. To reach to 2877 we still need another 4.55%. If next week we are able to consolidate higher, most likely the bears will close more short pushing the stocks higher.
Last week right after the FED announcement the US BOND MARKET moved again, and sellers were violent, but it seem that they fail to consolidate lower. Now, I am reading that there is more likelihood to trade higher than lower.