Berkshire Hathaway Cuts Apple Stake by Nearly Half Musk Buffett Clearly Anticipating Market Correction

Tesla CEO Elon Musk commented on Warren Buffett’s decision to sell nearly half of Berkshire Hathaway’s Apple shares.

According to a report by Benzinga, Berkshire announced its second-quarter financial results last Saturday (the 3rd), showing a 15.5% year-on-year increase in operating income to $11.6 billion, while net profit fell 15.5% year-on-year to $30.35 billion. During this period, the company continued to reduce its stake in Apple, selling approximately 390 million shares. As of June 30, Berkshire still held about 400 million shares of Apple, valued at $84.2 billion.

A user on the social media platform X shared news that Berkshire, after the stock sale, holds nearly $277 billion in cash reserves (cash, cash equivalents, and short-term government bonds), jokingly suggesting that Buffett could use these cash reserves for bold full investments, potentially acquiring any company such as Netflix, Salesforce, Toyota, Adobe, or Hermes.

In response, Musk remarked: Musk also criticized the Federal Reserve for not lowering interest rates, arguing that the current rates are too high. He stated, “The Fed needs to lower interest rates; it has been foolish not to do so.”

Global financial markets faced significant volatility on Monday (the 5th). According to a report by the Nikkei, Japan’s TOPIX index briefly dropped by 8%, prompting the Osaka Exchange to trigger a circuit breaker on TOPIX futures trading. South Korea’s KOSPI index fell by more than 8%, also triggering a circuit breaker during trading. Taiwan’s Weighted Index dropped by 1,807.21 points, a decline of 8.35%, marking the largest point and percentage drop in history.

The cryptocurrency market also experienced substantial declines over the past 24 hours, with Bitcoin (BTC) dropping over 15%, briefly falling below the $50,000 mark. Ethereum (ETH) plunged more than 22%. At the time of writing, Bitcoin was trading at approximately $51,000, and Ethereum was priced around $2,250.

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