Buffett Rarely Speaks Out: U.S. Fiscal Policy Makes Me 'Afraid'! Reveals Stock Selection Rule: Only Choose Non-Devaluing Currency

Investment guru Buffett dropped bombshells at Berkshire's annual shareholder meeting! While supporting the 'American Exception' theory, he issued a stern warning about current fiscal policy, stating he 'feels afraid,' and seldom disclosed his investment logic: only choose currency assets that will not devalue.

Firmly Bullish on 'American Exception' Theory

When asked about the resilience of the U.S. economy, Buffett reiterated his confidence: 'America has never been defeated by historical challenges.' He used the transformation from an agricultural nation to a super economy as an example, emphasizing that the current global changes are just a part of the historical process, not a signal of decline. 'Don’t be scared off by short-term volatility; the U.S. economy's recovery capability far exceeds expectations.'

Harsh Criticism of Fiscal Policy: Beware of Currency Devaluation Bomb

However, this investment master shifted his tone sharply, criticizing U.S. fiscal policy: 'The government is on a dangerous path; excessive spending is overdrawing the dollar's credibility.' He warned in the annual report that 'fiscal foolishness' could lead to the evaporation of the value of paper currency, as countless countries have fallen into crisis due to uncontrolled currency.

'Holding fixed-income bonds is like holding a ticking time bomb,' Buffett stated bluntly, 'On Berkshire's investment list, currency assets that could devalue are always excluded.' This statement is interpreted as a concern for the dollar's prospects—recently, the dollar has shown a devaluation trend against major currencies, with the market predicting a further drop of 10-15% in the future.

Investment Code for Growth Against the Trend

Despite criticizing fiscal policy, Berkshire has defied market expectations with its performance: this year, its stock price has risen 18.9%, far exceeding the S&P 500 index's -3.3%. The first-quarter financial report shows that its diversified layout across insurance, transportation, technology, and other fields is resisting external shocks such as tariffs.

'Prosperity is not a zero-sum game,' Buffett emphasized, 'The development of other countries will not harm American interests; on the contrary, it makes the world safer.' These remarks not only respond to trade disputes but also reveal his investment philosophy: in times of monetary turbulence, only by choosing value-anchored assets can one traverse the cycles.