Warren Buffett is celebrating the successes of Berkshire Hathaway’s companies last year and in the 60 years since he took over the company.

Warren Buffett is celebrating the successes of Berkshire Hathaway’s companies last year and in the 60 years since he took over a struggling New England textile company and began converting

After his firm paid $26.8 billion in taxes last year, Warren Buffett told the president to "spend it wisely," adding, "Take care of the many who, for no fault of their own, get the short straws in life.

Warren Buffett's annual letter celebrates Berkshire Hathaway's success, offers advice to Trump, and reflects on 60 years of leadership.

Warren Buffett and Berkshire Hathaway (NYSE: BRK-A) always make headlines in February when the firm holds its annual meeting. Among the many takeaways is what the company has been buying and selling and how invested it is in the market. A critical detail from the 2025 meeting is that Berkshire Hathaway's cash pile hit a record high, suggesting the Oracle of Omaha and his investment Colossus are on the sidelines. The risk for the stock market is the impact of Donald Trump's policies on an already-strained economic situation. His policies are expected to sustain higher-than-wanted inflation due to tariffs and increased domestic demand, likely keeping the FOMC from lowering interest rates. The question is if inflation will hold steady at its current pace or accelerate as it did in the second half of 2024. If inflation continues to accelerate, the FOMC must raise interest rates to combat inflation, which could easily tip the economy into a recession. Trump's policies also include mass layoffs. The Department of Government Efficiency (DOGE) is cutting government jobs by the thousands and will impact the labor market generally. That is bad news for employment data and the consumer outlook, but it may have a silver lining. Reducing government jobs may offset Trump's inflationary pressure enough to keep it from accelerating consumer-level inflation so that rate hikes come back onto the table. As it is, the CME FedWatch Tool indicates a 92% chance for one 25-basis point rate hike by year's end and about 70% chance for two. Broadening Economic Activity and Earnings Growth Are the Opportunity The opportunity for investors is that the United States will avoid recession, and Trump's policies will not significantly accelerate inflation. The U.S. economy will remain strong, and corporate earnings will grow in this scenario, a bullish environment for stocks compounded by the expectation of broadening activity. Easing regulatory and tax hurdles are expected to bolster economic activity across sectors, leading to a broader rally in stocks, another good reason for Mr. Buffett to raise cash. In that light, Berkshire's sales in 2024 were precautionary but also preparatory, raising capital for deployment into new investments. So, the S&P 500 is set up to fall but is not likely to fall far because the outlook for economic and earnings growth is dimming but still positive. A price correction in early 2025 may only fall as much as 5.5% from the all-time high, finding support at the January low, but there is a risk of a deeper correction because the forecasts could continue to decline. The critical support zone is 5,725 to 5,780; if broken, this market could retreat to 5,400 or deeper before hitting solid support. Catalysts for the market include tariff relief, easing inflation, and lower interest rates, but they are not likely to emerge until later in 2025. The S&P 500 could remain in a holding pattern until then, trending sideways within the established range. Before you make your next trade, you'll want to hear this. MarketBeat keeps track of Wall Street's top-rated and best performing research analysts and the stocks they recommend to their clients on a daily basis. Our team has identified the five stocks that top analysts are quietly whispering to their clients to buy now before the broader market catches on... and none of the big name stocks were on the list. They believe these five stocks are the five best companies for investors to buy now...

Warren Buffett is celebrating the successes of Berkshire Hathaway’s companies last year and in the 60 years since he took over a struggling New England textile company and began converting it into a massive conglomerate.

The billionaire’s annual letter to shareholders praised saving and attacked dividends as usual, but it also contained plenty of advice for the US president.

nodding to the U.S.’ choppy operating environment as President Donald Trump reworks the economy, with the help of Musk. How Much Has Berkshire Outperformed The Market? Up 10% year-to-date ...

Warren Buffett's endorsement boosted the stocks of five Japanese. Buffett wrote in Berkshire's annual letter that the company plans to increase investment in the fi