Warren Buffett during a press conference during the Berkshire Hathaway shareholders’ meeting on April 30, 2022.
CNBC
Legendary investor Warren Buffett made a rare commentary on the rates of President Donald Trump, and said that criminals can cause inflation and harm consumers.
“Rates are actually, we have had a lot of experience with them. They are to a certain extent a act of war,” said Buffett, whose conglomerate Berkshire Hathaway Has large companies in insurance, railway, production, energy and retail. He made the comments In an interview with CBS News’ Norah O’Donnell For a new documentary about the deceased publisher of the Washington Post, Katharine Graham.
“Over time they are a tax on goods. I mean, the tooth fairy does not pay them!” Buffett said laughing. And what then? You must always ask that question in the economy. You always say: ‘And what then? “”
This marks the first public comment of the 94-year-old “Oracle of Omaha” about Trump’s trade policy. Last week, Trump announced that the radical rates of 25% on the entry from Mexico and Canada will come into effect on March 4 and that China will charge an extra rate of 10% on the same date. China has sworn to take revenge.
During the first term of Trump, the Berkshire chairman and CEO in implementation in 2018 and 2019 about the trade conflicts that outbreak, warn that the aggressive movements of the Republican could cause negative consequences worldwide.
When demanding the current state of the economy by CBS, Buffett stopped giving the direct comment.
“Well, I think that’s the most interesting subject in the world, but I won’t talk, but I can’t talk about it. I really can’t,” Buffett said.
Buffett has been in a defensive mode in the past year, because he quickly dumped shares and increased a record amount. Some read the conservative movements of Buffett as a bearish call on the market and the economy, while others believe that he is preparing the conglomerate for his successor by achieving positions and building money.
The market volatility has risen lately because concern grew on a delaying economy, unpredictable policy changes from Trump and the general stock valuations. The S&P 500 has risen around 1% this year.