The crypto market keeps recovering. Bitcoin has broken above $57,000. The way up to $60,000 is open now!
What does Warren Buffett buy?
This week, Warren Buffett's Berkshire Hathaway Inc. revealed three stock acquisitions that it kept in secret. The holding company bought the stocks of American energy corporation Chevron, insurance brokerage Marsh and McLennan, and Verizon Communications Inc. It also increased investments in AbbVie Inc by 20%, Bristol-Myers Squibb Company by 11%, and Merck &Co, Inc by 28%. The announcement pushed the stocks of these companies up. At the same time, Warren Buffet's company cut its holdings in Apple by 6%. Another big change made by Berkshire Hathaway is a 59% cut in exposure to Wells Fargo &Co.
What does it mean for the stocks?
The stock of Apple reacted negatively to this news. Just in few days, it dropped from the 137.4 level to the support at 127. Despite this fact, it worth mentioning that Apple is still the largest investment of Berkshire Hathaway Inc. Thus, the downfall may be short-lived.
As for Wells Fargo stock, the change in Mr. Buffett's portfolio did not affect its performance. The stock surged to 37.6 on Wednesday, driven by the news about Wall Street’s lone bear, J.P. Morgan analyst Vivek Juneja, who said WFC is no longer a sell and changed his stock rating from underweight to neutral.
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The upcoming CPI and the earnings season are the main events in the focus of traders next week. Check out more!
The market sentiment is risk-off. Stocks are falling, while the safe-haven US dollar is edging higher. Meanwhile, oil advanced after the OPEC meeting.
The US dollar is heading to close the seventh day in the red as it remains under selling pressure. The US data at 15:30 GMT+3 (jobless claims and Philly Fed Manufacturing Index) may support the greenback if it's strong.
Canada will publish the Retail Sales and Core Retail Sales on October 22, at 15:30 MT time (GMT+3).
The United States will release the weekly Unemployment Claims on October 21, at 15:30 MT time (GMT+3).