Warren Buffett's annual letter to Berkshire shareholders, Fed minutes and more in the coming week



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On Saturday, February 23rd, Warren Buffett of Berkshire Hathaway releases his much anticipated annual letter to shareholders. In 2018, Berkshire's after-tax operating profits increased 71% in the first nine months of 2018 to $ 19.1 billion. However, its Class A shares, at $ 306,600, increased 0.2% this year and over the last 12 months, ahead of the S & P 500 index of 10.6% in 2019 and 3.2 % Last year.

Investors are eager for details about the estate. Buffett is 88 years old. A year ago, the company entrusted Greg Abel and Ajit Jain with the vice presidents responsible for the non-insurance business and the insurance business respectively. One is his likely successor. (Barron's bet on Abel.)

Investors wonder whether Berkshire boosted share buybacks in the fourth quarter, after buying back $ 928 million in the third quarter. Buffett can review the program and buyouts in general, given the growing criticism from Congress.

Also in the fourth quarter, Berkshire added to the holdings of
JPMorgan Chase

and
Bank of America
.
Banks have become an important sector for Buffett, and a Wedgewood Partners investment manager, David Rolfe, would like him to talk about it.

Buffett can process acquisitions after another year without what he called an "elephant-sized" transaction despite access to more than $ 100 billion in cash. He will likely review Berkshire – Burlington Northern's most important activities, utilities and insurance. As a major US insurer, Berkshire bears the disaster risk of earthquakes, hurricanes and forest fires, wondering whether global warming makes this activity riskier.

Monday 18

The US and Canadian financial markets are closed on Presidents' Day and Family Day, respectively.

The Consumer Analyst Group conference in New York starts in Boca Raton, Florida. The conference includes
Brands Conagra

,
General Mills

, Hershey,
Campbell Soup

,
Procter & Gamble

, and Clorox.

Tuesday 19

Advance Auto Parts
,
Authentic pieces

,
Therapeutic Sage

,
Noble Energy

,
Medtronic

,
Walmart

, and
Texas Roadhouse

are among the companies organizing results conference calls.

The National Association of Home Builders publishes its NAHB / Wells Fargo Housing Market Index for February. Economists expect a reading of 60, up from 58 in January. Readings above 50 indicate a positive outlook for builders.

Cleveland Federal Reserve Chairman Loretta Mester will be the keynote speaker at the Lyon Economic Forecasting Conference at the University of Delaware.

Wednesday 20

Analog Devices
,
Synopsys

,
Henry Schein

,
CVS Health

,
Entergy
,
Agilent Technologies

, and GoDaddy discuss quarterly financial results.

The Barclays Industrial Select Conference meets in Miami Beach, Florida. Participants include Honeywell, Johnson Controls,
Norfolk Southern

, and
Boeing

.

The FOMC publishes the minutes of its political meeting from January 29 to 30. Economists will seek clarification on the Fed's willingness to be "patient" when determining its next political decision.

Thursday 21

Domino's Pizza, Milacron Holding,
Hormel Foods

,
Avis Budget Group

, and
Zillow Group

hold earnings conference calls for investors.

The Census Bureau releases its preliminary report on durable goods. In December, durable goods orders are expected to increase 1.7% after rising 0.7% in November. Orders for non-defense equipment, excluding aircraft, are expected to have increased 0.2% in December after a 0.6% decline in November.

The Conference Board publishes its main economic index for January. Economists predict an increase of 0.15% from a decline of 0.1% in December.

IHS Markit

publishes its Purchasing Managers Index for the manufacturing sector for the month of February. The forecasts call for a reading of 54.5, slightly below 54.9 in December.

The National Association of Realtors publishes data on existing home sales for January. A consensus calls for a seasonally adjusted annual rate of 5.01 million, compared with 4.99 million in December.

Friday 22

Wayfair,
CubeSmart
,
AutoNation

,
Cabot Oil & Gas

,Barnes Group,
Cinemark Holdings
,
Ruth's Hospitality Group is one of the
companies holding conference calls with investors after publishing their fourth quarter and fiscal year 2018 results.

The University of Chicago hosts its annual forum on US monetary policy. The President of the St. Louis Federal Reserve Bank, James Bullard, will participate in a panel discussion on the future of the Fed's balance sheet.

Saturday 23

Berkshire Hathaway

should release President Warren Buffett's letter to shareholders with his annual report.

– Robert Teitleman and Pauline Yuelys

E-mail: [email protected]

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