Berkshire Hathaway Down Nine Days in a Row

While the stock is well off its lows of the day, as of mid-day Berkshire Hathaway (BRK.A) remains down 3% and is poised for its ninth negative day in a row.  While nine straight days of negative returns are not too rare for Berkshire (red dots in chart below), the magnitude of the drop is notable.  Since November 7th, which was the last day Berkshire finished up on the day, the stock has declined by 29%.  This is by far its largest percentage decline over a nine day period.

click to enlarge

Comments

[whidbey:]

Disquieting too. The scuttlebutt is that the CDS used to cover recent investments have been priced out of all reason, or went up, in any case. So there is concern over the LT solvency of BRK or its future growth rate, or has the great man stumbled in his deal timing, or god forbid , all three. I think he as been a little early in making his plays. Interesting graph, thanks.

2008 Nov 20 03:40 PM

[herbert hoover:]

No offense to the author, but just about every issue on every exchange has been down 9 days in a row. DUH!!!!!!!!!!

2008 Nov 20 04:44 PM

[mahoney:]

It seems a little odd to start a post with "no offense to the author" and end in "DUH!!!"

2008 Nov 20 05:41 PM

[closed:]

lol mahoney, well spotted

2008 Nov 20 05:52 PM

[sundrenched:]

What's the point of this "article"? Where's the analysis?

2008 Nov 20 06:15 PM

[notsosmart:]

for now or ever,i dont know,mr.b's way of investing may be over.its now a changed world since our phony rated AAA worthless junk paper has hurt a lot of people.his unique position does not apply to the average individual investor.think for yourself.i am thousands ahead by not buying into the every other day bottom called by some anal st.be wary.all have an agenda.there is no analysis to this situation. no one knows anythihg.they guess & if they are right they brag.if not all is silent.

2008 Nov 21 10:16 AM

[Did U Think...:]

Don't know how to tell you guys but Berkshire is a classic mania chart and it has entered mania unwind mode. If you want to know what this looks like, go look at the POT or the BA charts or many others like them. It's all one market. It all floats on the same sea of fiat currency and, worse yet, credit based on a fractional reserve system that really should be called a fictional reserve system. The whole thing is getting a massive margin call just like Dow 1929-1933 or maybe the panic of 1873.

Yes, it's that bad.

2008 Nov 21 12:59 PM