After months of data showing the U.S. economy is stagnant, Warren Buffett finally has admitted the economy of the country is "more or less flat," during an interview on CNBC.
Buffett has been a cheerleader for Obama and his failed economic policies, not willing to say it was in major trouble in an apparent nod towards not wanting to make Obama look bad in a reelection year.
Trying to salvage something positive out of the acknowledgement for Obama and the American economy, Buffett added there has been a boost in the residential housing sector, although saying it "doesn't amount to a whole lot yet, but it's getting better." That's basically a meaningless and irrelevant comment and observation.
Buffett has been trying to spin the idea that economic growth in the U.S. would pick up once the residential housing market began to recover. That hasn't happened at all.
Talking on the euro zone, Buffett noted it is falling apart economically very quickly, citing the last six weeks in particular. Taking the longer outlook, he said he believes the region will work out its issues, but it could take up to a decade before it happens.
Buffett also said he doesn't believe the euro zone will be what its creators had originally envisioned in the next ten years, and isn't certain the euro will survive as a currency.
Going back to his cheerleader role, Buffett asserted that in spite of the weaker American economy, it's doing better than the other major economies around the world. I guess he doesn't follow the growth rate of China, even when it's slightly slowing down in growth. It's still growing at a far more rapid pace than the American economy.
Finally, Buffet implied he has no idea which direction the economy is going, and said "to some extent" is awaiting until things become clearer.