US pre-market update: Why did Buffett's Berkshire report $44 billion losses, Chinese stocks falling

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Warren Buffett Berkshire

How will market open today?

  • Stock futures are trading higher post strong jobs report last week.
  • Resilient labor market also signaled that the economy could withstand more rate hikes.
  • Clean energy related stocks are in focus after the Senate passed a $430 billion climate bill.
  • SoftBank posts a $21.6 billion quarterly loss on its Vision Fund, leading to fall in Chinese stocks.
  • On the economic front investors await for July inflation data, releasing on Wednesday.

Warren Buffett suffers losses

  • Decline in US stock market led to $43.8 billion loss for Berkshire Hathaway in the June quarter.
  • Warren Buffett has asked investors to not focus on the quarterly fluctuations in Berkshire’s equity investments.
  • However, its operating profit rose 39% on-year to $9.3 billion as the insurance and railroad businesses posted gains.
  • Berkshire is sitting on a cash pile of $105.4 billion even after $3.8 billion in new investments and $1 billion in stock buybacks.
  • Earlier this year, Berkshire Hathaway had agreed to buy insurance firm Alleghany for $11.6 billion, making it Buffett’s biggest deal since 2016. 
  • Analysts’ gave ‘Neutral’ rating on Berkshire post earnings amid current uncertainty in the markets.
  • Why did Berkshire Hathaway report $44 billion loss?

  • Why are clean energy stocks in focus?

  • What is an important economic update this week?