Warren Buffett has said that he doesn’t know what the future holds for stocks. The COVID-19 pandemic has ravaged across our global health, and financial landscape, leaving it’s permanent mark on our markets and companies.
This pandemic has had such a profound effect on society that many other financial experts agree the business world will be completely different when things open up again and approach normalcy.
“I don’t know — and perhaps with a bias — I don’t believe anybody knows what the market is going to do tomorrow,” Buffett said at the 2020 Berkshire Hathaway annual shareholders meeting.
He continued by stating you can still bet on America, but have to be incredibly careful how you do it because markets can do anything right now.
Berkshire Hathaway has since sold its entire portfolio of airline stock claiming “the world has changed for airlines”. It may be some time before people are comfortable flying again.
It isn’t only airlines. There is major uncertainty across multiple industries creating heavy volatility. Despite these tumultuous circumstances, Buffet has confidence in the country’s ability to grow from this but cautions major changes will develop in the months to come.