22 March 2010
Published in: Investment risk
Berkshire bonds safer than US government’s
The bond market is saying that it's safer to lend to Warren Buffett than Barack Obama, Bloomberg has reported.
Two-year notes sold by Berkshire Hathaway in February yield 3.5 basis points less than Treasuries of similar maturity, according to data compiled by Bloomberg.
The $2.59trn of Treasury Department sales since the start of 2009 have created a glut as the US budget deficit swelled to a post-1945 record and raised concerns whether the country deserves its AAA credit rating, noted Bloomberg.