Tuesday, April 29, 2008
Buffett snaps up Wrigley but still warns of recession
Warren Buffett is doing deals again - this time for Wrigley - but he still thinks we're facing a recession. Meanwhile, rights issues from RBS and HBoS show that while the government would love to spin its way out of a downturn, the banking sector is facing up to this reality. But while it may be better for the banks to do this sooner rather than later, the dividend will also take a hit - meaning investors should ignore tempting yields, and stay away from bank shares.