Warren Buffett has set alarm bells ringing on Wall Street
Citigroup's profits jumped by 25 per cent, beating analysts' expectations. The KBW Nasdaq Bank Index is close to an all-time high.
But not everyone is convinced that the good times are going to last.
Warren Buffett, the so-called Sage of Omaha, has been shedding his US bank holdings. At the start of the year, Buffett's Berkshire Hathaway sold about $US3.2 billion ($4.9 billion) of shares in American banks and financial companies.
Buffett sold about a $US1 billion stake in Citigroup, ditched shares worth more than $US2 billion in Bank of America and dropped some of its holdings in Capital One.
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'Berkshire has clearly been reducing its exposure to US bank stocks,' Larry Cunningham, director of the John L. Weinberg Center for Corporate Governance at the University of Delaware, says.
'That activity signals a cautious or even bearish outlook on banking.'
Moves of this size are not unusual for Berkshire Hathaway. But Buffett, arguably the most successful investor of all time, has a reputation for being preternaturally gifted at foreseeing market trends.
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The Advertiser
an hour ago
- The Advertiser
Australia pays US second $800m for AUKUS amid review
Australia has paid the United States $A800 million in the second instalment under the AUKUS nuclear submarine deal, despite an ongoing formal review of the agreement by US President Donald Trump's administration. Prime Minister Anthony Albanese confirmed the latest instalment on Wednesday, following an initial $A500 million paid in February. In 2023, the United States, Australia and Britain unveiled details of a plan to provide Australia with nuclear-powered attack submarines from the early 2030s to counter China's ambitions in the Indo-Pacific. Australia committed to spend $A368 billion over three decades in its biggest-ever defence deal. Canberra is due to pay the US $A3 billion by the end of the year to support the expansion of American submarine shipyards, Reuters reported in April. "There's a schedule of payments to be made. We have an agreement with the United States as well as with the United Kingdom, it is about increasing their capacity, their industrial capacity," Albanese told national broadcaster ABC. "As part of that as well, we have Australians on the ground, learning those skills." Trump launched a formal review of AUKUS in June to examine whether the pact met his "American First" criteria. It will be led by Elbridge Colby, who in the past has expressed scepticism about AUKUS. Australia, which sees the submarines as critical to its own defence as tensions grow over China's military build-up, has maintained it is confident the pact will proceed. "We support AUKUS," Albanese said. "We have an agreement to a treaty level, with our partners, signed, of course in San Diego with the United States and United Kingdom." Washington will sell several Virginia-class nuclear-powered submarines to Australia, while Britain and Australia will later build a new AUKUS-class submarine. Australia has paid the United States $A800 million in the second instalment under the AUKUS nuclear submarine deal, despite an ongoing formal review of the agreement by US President Donald Trump's administration. Prime Minister Anthony Albanese confirmed the latest instalment on Wednesday, following an initial $A500 million paid in February. In 2023, the United States, Australia and Britain unveiled details of a plan to provide Australia with nuclear-powered attack submarines from the early 2030s to counter China's ambitions in the Indo-Pacific. Australia committed to spend $A368 billion over three decades in its biggest-ever defence deal. Canberra is due to pay the US $A3 billion by the end of the year to support the expansion of American submarine shipyards, Reuters reported in April. "There's a schedule of payments to be made. We have an agreement with the United States as well as with the United Kingdom, it is about increasing their capacity, their industrial capacity," Albanese told national broadcaster ABC. "As part of that as well, we have Australians on the ground, learning those skills." Trump launched a formal review of AUKUS in June to examine whether the pact met his "American First" criteria. It will be led by Elbridge Colby, who in the past has expressed scepticism about AUKUS. Australia, which sees the submarines as critical to its own defence as tensions grow over China's military build-up, has maintained it is confident the pact will proceed. "We support AUKUS," Albanese said. "We have an agreement to a treaty level, with our partners, signed, of course in San Diego with the United States and United Kingdom." Washington will sell several Virginia-class nuclear-powered submarines to Australia, while Britain and Australia will later build a new AUKUS-class submarine. Australia has paid the United States $A800 million in the second instalment under the AUKUS nuclear submarine deal, despite an ongoing formal review of the agreement by US President Donald Trump's administration. Prime Minister Anthony Albanese confirmed the latest instalment on Wednesday, following an initial $A500 million paid in February. In 2023, the United States, Australia and Britain unveiled details of a plan to provide Australia with nuclear-powered attack submarines from the early 2030s to counter China's ambitions in the Indo-Pacific. Australia committed to spend $A368 billion over three decades in its biggest-ever defence deal. Canberra is due to pay the US $A3 billion by the end of the year to support the expansion of American submarine shipyards, Reuters reported in April. "There's a schedule of payments to be made. We have an agreement with the United States as well as with the United Kingdom, it is about increasing their capacity, their industrial capacity," Albanese told national broadcaster ABC. "As part of that as well, we have Australians on the ground, learning those skills." Trump launched a formal review of AUKUS in June to examine whether the pact met his "American First" criteria. It will be led by Elbridge Colby, who in the past has expressed scepticism about AUKUS. Australia, which sees the submarines as critical to its own defence as tensions grow over China's military build-up, has maintained it is confident the pact will proceed. "We support AUKUS," Albanese said. "We have an agreement to a treaty level, with our partners, signed, of course in San Diego with the United States and United Kingdom." Washington will sell several Virginia-class nuclear-powered submarines to Australia, while Britain and Australia will later build a new AUKUS-class submarine. Australia has paid the United States $A800 million in the second instalment under the AUKUS nuclear submarine deal, despite an ongoing formal review of the agreement by US President Donald Trump's administration. Prime Minister Anthony Albanese confirmed the latest instalment on Wednesday, following an initial $A500 million paid in February. In 2023, the United States, Australia and Britain unveiled details of a plan to provide Australia with nuclear-powered attack submarines from the early 2030s to counter China's ambitions in the Indo-Pacific. Australia committed to spend $A368 billion over three decades in its biggest-ever defence deal. Canberra is due to pay the US $A3 billion by the end of the year to support the expansion of American submarine shipyards, Reuters reported in April. "There's a schedule of payments to be made. We have an agreement with the United States as well as with the United Kingdom, it is about increasing their capacity, their industrial capacity," Albanese told national broadcaster ABC. "As part of that as well, we have Australians on the ground, learning those skills." Trump launched a formal review of AUKUS in June to examine whether the pact met his "American First" criteria. It will be led by Elbridge Colby, who in the past has expressed scepticism about AUKUS. Australia, which sees the submarines as critical to its own defence as tensions grow over China's military build-up, has maintained it is confident the pact will proceed. "We support AUKUS," Albanese said. "We have an agreement to a treaty level, with our partners, signed, of course in San Diego with the United States and United Kingdom." Washington will sell several Virginia-class nuclear-powered submarines to Australia, while Britain and Australia will later build a new AUKUS-class submarine.
Sydney Morning Herald
2 hours ago
- Sydney Morning Herald
Reds eye global takeover, spurred by former Wallaby's daring US move
Queensland Rugby Union chief executive Dave Hanham has outlined visions of taking the Reds' brand worldwide, and a former Wallabies star's daring NFL dream could hold the key to realising them. Fresh off announcing a partnership with Italian giants Benetton, Hanham revealed bold moves had been discussed to take the club to the United States, where past Reds sensation Jordan Petaia is plotting an American takeover. Petaia left Rugby Australia, even with the British and Irish Lions tour in sight, to take part in the NFL's International Player Pathway program, earning a contract with the Los Angeles Chargers in the process. When asked if the 25-year-old's bold move got the wheels turning to potentially leverage that connection, Hanham replied 'definitely'. 'We're very proud of Jordie's progression into the NFL. Not that we want to be losing a lot of players to the NFL, but at the same time, that's a massive drawcard, and we were part of that,' he said. 'Jordie's obviously still very fond of the Reds and Super Rugby back here, so who knows what that could turn into down the track? 'The amount of talent over in the US is very attractive. They've got a strong presence in [rugby] sevens, so if we're front and centre with opportunities over there, who knows what that could turn into? 'The US is definitely an opportunity to establish a strategic relationship.' While the NRL has sought to infiltrate the US market through its opening round in Las Vegas, opportunities for rugby union to forge a more collaborative partnership await. Loading Hanham confirmed the US would continue to be a market they would explore before the nation hosts the 2031 Rugby World Cup, and could, in time, feature a similar connection to that which has been created with Benetton. Josh Flook, Richie Asiata, Louis Werchon and John Bryant will leave this month for a three-month secondment in Italy, and Hanham sees the potential for similar exchanges of players and coaches with American rugby. The connection to Petaia could enhance those visions, as could the exposure opportunities to be gleaned from a major broadcast deal on ESPN secured by America's professional rugby competition, Major League Rugby. 'We were looking at an opportunity last year when the LA team played a game in Fiji. They were talking to us about potentially coming to participate in that, which we were open to – it would have been before we went to the UK,' Hanham said. 'I've met with a couple of the clubs over there who have spoken to us about their ambitions for the success of rugby heading into the World Cup '31. 'The opportunity may start in the form of a game or games, and that may end up in other opportunities down the track around the use of players and development opportunities both ways. 'It's a great market, with potential for growth. It's got the World Cup, which will see a significant rise in popularity of the game, and as a brand, we want to be connected to the growth of the game in different markets. 'If you're not there promoting your brand to a broader audience, you run the risk of being contained to your local market only, which is critical to have a strong local market, but we are a global game. 'You've got to put yourself on that stage if you want to be recognised as a team that's got the potential for growth.' Upon Petaia's signing with the Chargers, Reds coach Les Kiss suggested his old prodigy had the capacity to thrive in the NFL, and that moves into the US could create recruitment opportunities. 'I think in certain positions, yes. It wouldn't be right across – you wouldn't find any nines there – but you could certainly find the types of athletes with a power base,' Kiss said. 'Any opportunities you can get to broaden your reach and deepen your influence, why not tap into it? We're always searching for opportunities, whether it's in Europe or broader into the US market.' While the American dream is yet to come to fruition, the Reds have orchestrated a touring calendar that has proved to be a retention and recruitment goldmine. The club already has lasting ties with Japan through the Saitama Wild Knights, while there is the possibility of another Tonga clash being arranged this year, following last year's venture. The Reds also travelled to Ulster and Bristol in January, and Hanham said they were hopeful of securing another fixture when they embarked for Benetton in November 2026 – ideally in France. In turn, the club has extended the bulk of its team, which finished fifth this year. Loading Hanham said the goal of the Reds' global escapades was to develop a program featuring '25 to 26 quality games a year' to help build a 'sustainably successful football program and team that can win consistently'. He said given the Super Rugby Pacific season only ran for 16 rounds before finals, there was a 'high performance need' to fill a gap and ensure players remained engaged and committed. 'We want to be doing this for well over a decade because once we can do this consistently, that's going to help with a number of things for our football program,' Hanham said. 'The appeal in being part of the Reds now is you get to play in these international tour matches. It's starting to have a positive impact on player renegotiations and retention, and, in some cases, recruitment of players.
The Age
2 hours ago
- The Age
Reds eye global takeover, spurred by former Wallaby's daring US move
Queensland Rugby Union chief executive Dave Hanham has outlined visions of taking the Reds' brand worldwide, and a former Wallabies star's daring NFL dream could hold the key to realising them. Fresh off announcing a partnership with Italian giants Benetton, Hanham revealed bold moves had been discussed to take the club to the United States, where past Reds sensation Jordan Petaia is plotting an American takeover. Petaia left Rugby Australia, even with the British and Irish Lions tour in sight, to take part in the NFL's International Player Pathway program, earning a contract with the Los Angeles Chargers in the process. When asked if the 25-year-old's bold move got the wheels turning to potentially leverage that connection, Hanham replied 'definitely'. 'We're very proud of Jordie's progression into the NFL. Not that we want to be losing a lot of players to the NFL, but at the same time, that's a massive drawcard, and we were part of that,' he said. 'Jordie's obviously still very fond of the Reds and Super Rugby back here, so who knows what that could turn into down the track? 'The amount of talent over in the US is very attractive. They've got a strong presence in [rugby] sevens, so if we're front and centre with opportunities over there, who knows what that could turn into? 'The US is definitely an opportunity to establish a strategic relationship.' While the NRL has sought to infiltrate the US market through its opening round in Las Vegas, opportunities for rugby union to forge a more collaborative partnership await. Loading Hanham confirmed the US would continue to be a market they would explore before the nation hosts the 2031 Rugby World Cup, and could, in time, feature a similar connection to that which has been created with Benetton. Josh Flook, Richie Asiata, Louis Werchon and John Bryant will leave this month for a three-month secondment in Italy, and Hanham sees the potential for similar exchanges of players and coaches with American rugby. The connection to Petaia could enhance those visions, as could the exposure opportunities to be gleaned from a major broadcast deal on ESPN secured by America's professional rugby competition, Major League Rugby. 'We were looking at an opportunity last year when the LA team played a game in Fiji. They were talking to us about potentially coming to participate in that, which we were open to – it would have been before we went to the UK,' Hanham said. 'I've met with a couple of the clubs over there who have spoken to us about their ambitions for the success of rugby heading into the World Cup '31. 'The opportunity may start in the form of a game or games, and that may end up in other opportunities down the track around the use of players and development opportunities both ways. 'It's a great market, with potential for growth. It's got the World Cup, which will see a significant rise in popularity of the game, and as a brand, we want to be connected to the growth of the game in different markets. 'If you're not there promoting your brand to a broader audience, you run the risk of being contained to your local market only, which is critical to have a strong local market, but we are a global game. 'You've got to put yourself on that stage if you want to be recognised as a team that's got the potential for growth.' Upon Petaia's signing with the Chargers, Reds coach Les Kiss suggested his old prodigy had the capacity to thrive in the NFL, and that moves into the US could create recruitment opportunities. 'I think in certain positions, yes. It wouldn't be right across – you wouldn't find any nines there – but you could certainly find the types of athletes with a power base,' Kiss said. 'Any opportunities you can get to broaden your reach and deepen your influence, why not tap into it? We're always searching for opportunities, whether it's in Europe or broader into the US market.' While the American dream is yet to come to fruition, the Reds have orchestrated a touring calendar that has proved to be a retention and recruitment goldmine. The club already has lasting ties with Japan through the Saitama Wild Knights, while there is the possibility of another Tonga clash being arranged this year, following last year's venture. The Reds also travelled to Ulster and Bristol in January, and Hanham said they were hopeful of securing another fixture when they embarked for Benetton in November 2026 – ideally in France. In turn, the club has extended the bulk of its team, which finished fifth this year. Loading Hanham said the goal of the Reds' global escapades was to develop a program featuring '25 to 26 quality games a year' to help build a 'sustainably successful football program and team that can win consistently'. He said given the Super Rugby Pacific season only ran for 16 rounds before finals, there was a 'high performance need' to fill a gap and ensure players remained engaged and committed. 'We want to be doing this for well over a decade because once we can do this consistently, that's going to help with a number of things for our football program,' Hanham said. 'The appeal in being part of the Reds now is you get to play in these international tour matches. It's starting to have a positive impact on player renegotiations and retention, and, in some cases, recruitment of players.
