Today is February 26th. Although the artificial intelligence (AI) craze subsided last night, the US stock market remained strong. The S&P 500 surged to record highs, while the Dow Jones Industrial Average hit record highs for two consecutive days, and recorded cumulative gains this week. Although the Nasdaq index fell for a while in the intraday period, there was still positive growth overall.
In the technology sector, although the so-called “Seven Sisters” of technology fell sharply in the intraday period and Tesla closed down nearly 3%, Nvidia rose nearly 5% at the beginning of the session, and its market capitalization broke through 2 trillion US dollars for the first time. Eventually, it closed up 0.4%, with a cumulative increase of 8.5% during the earnings week. Chip stocks as a whole declined by more than 1%, but Arm closed up nearly 4%. Meanwhile, Super Micro (SMCI), known as the AI “monster stock,” fell nearly 12%.
Buffett's net profit for the fourth quarter of Berkshire Hathaway doubled year-on-year, with investment income of nearly 30 billion US dollars and cash reserves of 167.6 billion US dollars, a record high. In his 2024 letter to shareholders, Warren Buffett called Charlie Munger the “architect” of Berkshire and stated that the relationship between the two was “brother and father.” Furthermore, Buffett said he will maintain his investment in Occidental Petroleum and five Japanese trading companies for an indefinite period of time. Of these, the shares in the five major trading companies have reached 9%, earning 8 billion US dollars by the end of last year, with a yield of 60%.
On the macroeconomic side, the two-year US Treasury yield declined after hitting a new intraday high for more than two months, but it has continued to rise for four consecutive weeks. The US dollar index ended a seven-week streak of gains...