Buffet senses signs of US economy slowly recovering
Speaking on CNBC television, Mr Buffett said the economy is benefiting from improvement in areas that had not previously performed well, particularly homebuilding. He also said the improved economy is helping create increased traffic for NetJets, Berkshire Hathaway’s private plane unit, and could drive Berkshire’s railroad unit Burlington Northern Santa Fe to record earnings this year.
“The economy is moving forward, but at a slow pace,” he said. “Demand has come back, but slowly.”
Advertisement
Hide AdAdvertisement
Hide AdMr Buffett spoke on CNBC after Berkshire’s annual shareholders meeting over the weekend. The world’s fourth-richest person said low benchmark interest rates, including overnight rates that have been effectively zero since late 2008, can help stimulate demand.