My comment: Some people do not understand anything and maybe it is too late to help them learn anything.
Berkshire May Lose AAA From S&P on Burlington Deal http://www.bloomberg.com/apps/news?pid=20601087&sid=aHG8Kvt8vMfM&pos=2 First something that readers should know on my potential bias: 1) I feel no particular click toward Mr. Buffet. In my opinion, he is just one among many investors who run after profits. Disregarding how efficiently he disguises them. It is not bad, but it does not make him better than any other investor, just a bit more hypocrite. 2) I feel no particular sympathy toward rating agencies, any. I perceive them as part of a corrupt system where bribe (either economic or else) excludes any piece of fairness. But they are too important to fail, too important to be questioned, too important to be touched. 3) In some economies (such as China) their rates are irrelevant. Then, I can feel relaxed amid I just feel disgusting disrespect toward those agencies. However, for others economies such as US, it can be crucial to rise funds at reasonable fees, therefore that cut from AAA to whatever might put into risk an important part of US recovery. Once reader know my potential bias, I comment this news. I told hundreds times that railways networks are more more crucial in modern economies. I have critisized explicitely Obama administration because they have not been much more agressive in this field in particular along their stimulous package. Of course, I sustain that criticism until facts might prove I am wrong. But, despite my non-existent sympathy toward Mr. Buffet, I concede him one rare quality among Westerners nowadays. He is a visionary who stays away of the financial mind-set. Like top predators he smells fresh wealth. This acquisition is another proof of it. Nowadays, nothing is more volatile than capital, nothing more risky than cash. Nowadays there are ten, hundred, thousand times more capital than opportunities to invest it with profits. Railways is as safe as gold and more profitable. Everywhere, but even more in USA where railways are underdeveloped. In other words, they would not cut AAA rating if Berkshire invests in US treasuries that offer negative profit in USdollars, but they might cut AAA rate if they invest in railways. Guys from rating agencies you are ridiculous and pathetic as usual. As usual, you just prove that you lack basic economic skills and you just learn basic arithmetics (assets less liabilities) in primary school, nothing beyond. Well, if he needs it, I am sure that to put some bucks in the right wallet can fix this sort of difference in perspectives. Peace and best wishes. Xi --~--~---------~--~----~------------~-------~--~----~ You received this message because you are subscribed to the Google Groups "World-thread" group. To post to this group, send email to [email protected] To unsubscribe from this group, send email to [email protected] For more options, visit this group at http://groups.google.com/group/world-thread?hl=en -~----------~----~----~----~------~----~------~--~---
