Warren Buffett: "The US Economy Couldn't Be Stopped by COVID-19... Invest in the US"

Warren Buffett

[Asia Economy International Department Reporter] Warren Buffett, the 'investment genius' and chairman of Berkshire Hathaway, expressed optimism that the novel coronavirus infection (COVID-19) will not be able to stop the U.S. economy, referring to the 'American miracle.'

According to CNBC on the 2nd (local time), Buffett stated at the annual shareholders' meeting held in Omaha, Nebraska, that the U.S. economy will be able to overcome COVID-19. He said, "Nothing can fundamentally stop America," adding, "The American miracle, the American magic has always won. It will be so again."

He continued, "I was confident about this even during World War II," and added, "I was also confident during the 9/11 attacks, the Cuban Missile Crisis, and the global financial crisis."

Buffett also expressed confidence that better days will come for America, saying, "If you could choose when and where to be born, you would choose today, America. Since the founding of the United States, people have hoped to come here." However, he cautioned, "You can bet on America, but you need to be careful about how you bet," and said, "In my opinion, the best thing for most people is to hold an S&P 500 index fund. Betting on America and holding it for decades is better than buying government bonds."

Meanwhile, on the same day, German financial company Allianz forecasted in its 'Reopening of the World' report that the global economy will fall into the worst recession since World War II due to the impact of COVID-19, diagnosing that the GDP loss from negative growth could reach $9 trillion (about 1,971 trillion won).

By country, most are expected to experience negative growth, including the U.S. (-2.7%), the Eurozone (-9.3%), and Japan (-5.7%), while China (1.8%) and India (1.1%) are projected to have positive growth.

This content was produced with the assistance of AI translation services.