There are two pieces of news worth sharing. The first: In the United States, investment guru Buffett has sold most of his bank stocks. Even after recently offloading shares in other major banks such as US Bancorp, Wells Fargo, Goldman Sachs, and JPMorgan, his flagship company Berkshire Hathaway still holds Bank of America.
Although he has jumped ship himself, he reassured bank depositors that their funds are safe after stabilizing from the bank failure incidents. He then criticized the banking system for not punishing corporate executives in the past, such as during the 2008 financial crisis. However, he acknowledged the leadership of Bank of America, hence did not sell off its shares. Data shows that by the end of last year, Berkshire Hathaway held 12.9% of Bank of America's shares, valued at approximately $29.7 billion.
This news indicates that the Oracle of Omaha almost entirely dismisses the prospects of bank stocks, showing an unspoken wariness towards U.S. financial risks. Retaining Bank of America is merely a gesture to save face for the Fed; whether there has been a reduction in holdings remains unknown. Ultimately, his view has been declared: under a tightening environment, bank stocks no longer hold investment value worth pursuing. So, what about the situation in China?
The second piece of news: data shows that in the first quarter, RMB deposits increased by 9.9 trillion yuan, of which savings deposits accounted for 10 trillion. Money is flooding into banks like snowflakes, with loaned money circulating back entirely as deposits. Regardless of what policies or measures are introduced above...