Buffett sees signs that recession is getting worse; also says inflation is a worry.

06/25/08 -  Billionaire Warren Buffett has already said he thinks the U.S. economy is in a recession, and now he says the economy is getting worse.  Everything connected with construction and with consumer, I see weakness, and if anything, it's accentuating a little bit." Buffett also said he thinks inflation is picking up, especially in steel and oil, so it should be a concern for the Federal Reserve.  But Buffett said he would have been surprised if the Federal Reserve were to announce a rate cut Wednesday afternoon.  Buffett also said he believes supply and demand, not market speculation, is what's driving oil prices to new heights.   "In my adult lifetime, up until the last year or two, there's been a huge amount of excess supply available," Buffett said. "We don't have excess capacity in the world anymore, and that's why you're seeing these oil prices."  Buffett said he doesn't think it makes sense to impose a windfall tax on oil companies that have benefited from the high price of oil when other commodity prices have also increased. Steel, corn and soybean prices are all up significantly.

 

Wall Street Profit News Headlines

Trend day in the indices ....again. Market Summary 08/08/2008 By Rajoo Sharma.  More

QQQQ: Pausing B4 the Next Leg Up. Market Summary 08/07/2008 By Rajoo Sharma.  More

WSProfit Bear Super-Cycle News. -UPDATED- A Litany of Bear News Bullets.  More

QQQQ: No Follow Through to Bearishness...Yet. Market Summary 08/05/2008 By Rajoo Sharma.  More

Looking for a resolution of the Bearish Triangle on the Qs. Market Summary 08/04/2008 By Rajoo Sharma.  More

Buffett sees signs recession getting worse - says inflation is a worry. Billionaire Warren Buffett has already said he thinks the U.S. economy is in a recession, and now he says the economy is getting worse.  More

Fed Leaves Rates Unchanged; Sees Greater Inflation Risk. Federal Reserve holds key interest rate at 2%, leaving it unchanged for the first time since last summer.  More

Royal Bank of Scotland (RBC) – issues a global stock and credit alert Royal Bank of Scotland (RBC) – issues a global stock and credit alert.  More