Buffett cuts another 100 million shares of Apple, holding a record $10 trillion in cash! Will the US stock market escape a crash after the election?

Berkshire Hathaway, led by Warren Buffett, announced its third-quarter financial report on the 2nd, further reducing its holdings of Apple stocks (selling about 100 million shares, accounting for 25% of its holdings), and increasing its cash reserves to a record-breaking $325.2 billion (over 10 trillion New Taiwan dollars). Benefiting from the explosive development of the artificial intelligence (AI) industry and the Federal Reserve's official announcement of monetary easing in September, the U.S. stock market has experienced a true "bull market" this year: Apple, Nvidia, and Tesla stock prices have continued to rise, and the four major U.S. stock indices have reached new highs as if it were a normal occurrence. But can the U.S. economy really achieve a soft landing like this? Will stock prices continue to rise without turning back? We cannot predict the future, but perhaps we can find some clues from the decisions of the masters... Berkshire Hathaway, led by Warren Buffett, announced its third-quarter financial report on the 2nd, further reducing its holdings of Apple stocks (selling about 100 million shares, accounting for 25% of its holdings), and increasing its cash reserves to a record-breaking $325.2 billion (over 10 trillion New Taiwan dollars). Since 2024, Berkshire Hathaway has sold over 600 million shares of Apple, leaving only about 300 million shares. Overall, Berkshire Hathaway sold about $36.1 billion worth of stocks in Q3, including billions of dollars worth of Bank of America stocks, marking the company's eighth consecutive quarter of net selling. Many analysts believe that Buffett's move indicates that he believes current stock valuations are too high and is preparing for a possible economic recession... The Buffett Indicator reaches 200% Barchart also reminded investors on Twitter last month that the so-called "Buffett Indicator" has reached 200% for the first time in history, surpassing the dot-com bubble and the global financial crisis. The Buffett Indicator, published by Warren Buffett in Fortune magazine in 2001, calculates the ratio between total U.S. stock market capitalization and GDP. Buffett uses this ratio to observe whether the market capitalization of U.S. stocks is supported by the real economy. If the ratio is very low, it means that stock prices are undervalued, and vice versa, the market is overvalued. JUST IN: Warren Buffett Indicator hits 200% for the first time in history, surpassing the Dot Com Bubble and the Global Financial Crisis pic.twitter.com/w0NV4RaMw7 - Barchart (@Barchart) October 22, 2024 Related reports Breaking the September curse? BTC briefly breaks through $63,800, Ethereum approaches $2,500, and the S&P 500 hits a new high. What signal is the U.S. stock market sending with the bet on the Fed's 2-point rate cut and the surge in BTC? Is the slaughter in the U.S. stock market not over yet? Wall Street guru Tom Lee: afraid of another drop of 8-10%. This article was originally published on BlockTempo, the most influential blockchain news media in the Dynamic Zone.