A big portion of BNSF’s business is coal. We know how Obama wants to curtail coal. Of course, Berkshire’s Mid-America Energy also uses much coal. How does this play with the global warming game?
Rail may be a rising star in transportation, since we can expect fuel prices to rise sharply after Cap and Trade, making trucking less palatable. Anybody else getting a real “Atlas Shrugged” vibe from this?
” The biggest name in investing is making what he calls an “all-in wager” on the U.S. economy “
BS... He’s betting that fuel costs stay high enough to preclude any major rebound in the trucking industry....
And that’s *not* good for the U.S. economy.....
Hauls coal out of Campbell County, WY, which if it were a country, would be the 3rd largest coal producer in the world! (Gillette, WY)
Buffett has been adding shares of railroad companies for 3+ years now.
Railroads!!!???
Hauling Chinese cars?
If you are rich as Warren Buffet you don’t buy a train set, you buy a railroad!
Wouldn’t Democrats love to throw all sorts of tax money to rail?
He’s betting on the rail road because he is obama’s buddy and figures the next stimulus will pay off for him that way.
http://www.businessinsider.com/duh-warren-buffett-is-betting-on-lots-more-stimulus-2009-11
he is probably expecting some major bailout money
Buffet is playing with his own money here (and others), so I think we can exclude anything political from his calculus.
I have to wonder if he is not going into something that has real tangible value absent the USD. A railroad with tracks, right of ways, equipment; that is tangible. You don’t need a USD or US Government to create commerce with a railroad. No airport gates, no US highway, no permits..
Makes one think...
Rand Paul is heading to the Senate. “Atlas Shrugged” is furiously debated on FR. And now a billionaire causes buying the railroad a vote for America’s future? I hope Buffet doesn’t go Galt on us. Well, Galt enough to quit funding liberals would be good.