Last Thursday I wrote warning of the danger of inflation, wisecracking that I was no Warren Buffett. If that name is unfamiliar to you, he is perhaps the nation’s most famous highly successful investor.
In a pleasant coincidence, I today saw this CNBC report of Buffett’s CEO comments to shareholders attending a Berkshire Hathaway annual meeting. Inflation was on his mind as his words show.
We are seeing very substantial inflation. It’s very interesting. We are raising prices. People are raising prices to us and it’s being accepted.
We’ve got nine homebuilders in addition to our manufacture housing and operation, which is the largest in the country. So we really do a lot of housing. The costs are just up, up, up. Steel costs, you know, just every day they’re going up.
Not to mention that the cost of a 4x8 sheet of plywood has more than tripled in the past year. It is time to hedge your financial position against inflation.
