Finance News

Warren Buffett will increase Financial institution of America's stake by greater than $ 800 million

Warren Buffett

Gerry Miller | CNBC

Warren Buffett increased his already massive stake in Bank of America this week, at a time when the coronavirus pandemic was still clouding the prospects for the United States and the global economy.

A filing by the Securities and Exchange Commission revealed that Buffett's Berkshire Hathaway conglomerate bought 33.9 million shares of the banking giant between Monday and Wednesday. This increased Berkshire's stake in Bank of America by $ 813.3 million to over $ 24 billion.

Bank of America stocks rose almost 1%, defied the negative trend of the broader market on Thursday, and outperformed other large banks such as JPMorgan Chase, Citigroup and Wells Fargo. Berkshire is also involved in JPMorgan and Wells Fargo.

In May, Buffett was optimistic at the annual Berkshire Annual General Meeting, which was practically due to the coronavirus pandemic.

"Nothing can stop America in principle," Buffett told shareholders. "The American miracle, the American magic has always prevailed and will do it again."

However, the Omaha Oracle also announced that it had sold out its airline inventory due to the uncertainty caused by the outbreak.

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