Buffett's Lament Is a Reflation Reality Check
The Oracle of Omaha sees a bleak future for bond investors.
Warren Buffett isn’t impressed by the returns available on bonds.
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After an extraordinary week in the bond market, a familiar oracular voice from Omaha, Nebraska, reminded everyone of just how extreme that bond market had become. Warren Buffett, still CEO of Berkshire Hathaway Inc. at the age of 90, published his annual letter to investors. You can read it here, and my colleague Tara Lachapelle’s commentary on it here. Some will be disappointed that he didn’t take the time to inveigh against GameStopmania, or to tell us whether he thought the stock market was in a bubble. But in a discussion of the business model of his vast network of insurance businesses, he offered this gem on bonds: