At the annual Berkshire Hathaway meeting, Warren Buffett and Charlie Munger provide more nuggets about the efficacy of active management, the long-term outlook for capitalism, and the road to prosperity ahead.
Let me preface this post by saying I much prefer to use fundamentals than technicals for basing my decisions, and I think I’m a lot stronger on the fundamental analysis side of the ledger. I employ KISS thinking for TA – and certainly many others can swin circles around me on calling the next 15 minutes or next 3 days employing 31,000 indicators – of which 30,997 I have never heard of. (some of which can be found on greenfaucet) That said, ignoring technicals or not understanding them is something I think many managers and individual investors are making a large mistake in doing. To many they just say its reading tea leaves … once every 3-4 months I use this example to explain to them why it is not.
The latest Producer Price Index numbers, pushed higher by food prices, has got people talking about reflation again. So what do rising food costs indicate about inflation?
