A startling divergence between Berkshire [BRK.B] (blue line) and the broad US stock market [VTI] (magenta):
Year-to-date, they've almost been inversely correlated.
Berkshire's cash+short-term allocation is unprecedented. Latest reporting was over $300b against a $1t market cap.
On social media, I see a lot of comments suggesting Buffett's a retard. I think I want to see a little more market action before I draw that conclusion.
Government data reporting is comically inept (intentionally or otherwise). I typically trade against it.
I like to scale into my positions, so I take declines as opportunities. But some declines have been turbocharged:
- waited patiently for DOW below 25, and now two days later it's below 22
- initiated LULU last week at 220; today it traded below 192
- bought UNH yesterday at 254; traded today below 235
Of the three, the one I'm chasing hardest is DOW. Everyone hates a cyclical business at the bottom of a cycle. I'm also eyeing competitors HUN and LYB.
I'm up to 16 shares, Not a top position, but enough to be painful if a rebound is denied. I have nearly the same dollar amount in BAX -- twin towers of health scare sh1tcos .
Sat on the sidelines today. Divs and m mkt posted 8/1 saving the day. Up 2 percent for the year. Not great by any means. Took a good hit on Russell 2,000 index fund. My best pick for the year DX. 16.39 percent dividend and holding its value. I have a friend that retired to an Island in Greece. ( Owned a very good local diner. ). When he came back to visit family around Christmas time, I casually mentioned DX which I had just purchased to take a look at if he was looking for a little mad money. Little did I know the next day he would buy like 3500 shares!!!! Yikes. Guess he’s happy. 600 buck a month divvy.
The way it looks now, I will be selling all of my BGS for a tax loss just like last year. Then buying it back after the 30 day wash sale period as long as they haven’t cut the Div.
Gold Exclusive
My Favorites
.
.