Buffet’s Investing in Railroads in Early 2009
Contrarian Profits (February 9th, 2009) Writes:
Chris Mayer with the Penny Sleuth says that railroad executives have been pretty confident in their ability to continue to raise prices on their customers in the middle of a recession - making these two buffet-backed railroad stocks attractive buys.
The Financial Times led off one headline column this week thundering:
“The world economy will this year suffer its worst performance for more than 60 years with a serious risk that 50 million people will lose their jobs, international organizations warned yesterday.”
The consensus has gelled. Now it’s just a matter of who can come up with more staggering figures. The IMF says global output will fall for the first time since the World War II. And 50 million are a lot of people.
Where to invest is the question. In pockets of strength is one answer. Where might these be?
Warren Buffett likes railroads and recently upped his stake in
...American Short Line and Regional Railroad Association;, buffett, Burlington Northern, Canadian National Railway;, Chris Mayer, contrarian profits, Csx, David Winters, Dennis Moon;, donald coxe, International Monetary Fund, James Young;, jeremy grantham, lower energy costs;, Market Commentary, Oil, Sp 500, The Financial Times, The Wall Street Journal, Timberland;, U.S. Trust;, Union Pacific, Wall Street Journal, Warren Buffett


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