While some stocks are seriously falling being affected by the current events in the world, Berkshire Hathaway stock may be the biggest winner.
Berkshire Hathaway (NYSE: BRK.A, BRK.B) stock may be the biggest winner of the current stock market crash caused by the coronavirus outbreak and also the crude oil recession. There are some reasons why the company is well-positioned to handle the current market meltdown with ease.
However, at the moment BRK.A and BRK.B are falling by 6%. But BRK.B is adding 2% in the premarket.
Coronavirus outbreak has been the number one cause of the stock market bleeding out in a huge percentage since the beginning of this year. Basing the argument on the benchmark S&P 500, which consists stock market from over 500 largest companies worldwide by valuation, the huge nosedive on the market chart represents the investor fear to stay away from the risky and volatile market at this time of heal crisis.
As a result of the coronavirus outbreak worldwide, the crude oil demand has sharply declined while the supply from the OPEC big fish remains constant if not increasing. It has, in turn, reduced the prices of one barrel of oil, which was the origin of contention during the recent OPEC-Russia meeting. Read More...