Stock Market News: Why Warren Buffett's Favorite War-on-Cash Stock Soared Wednesday
The stock market showed clear signs of a sector rotation on Wednesday morning, as certain parts of the market fared a lot better than others. Doing especially well were some of the hardest-hit sectors from the coronavirus pandemic, which continued to gain ground on hopes that a reopening economy will restore their prospects. But the go-to stocks that many investors chose to weather the COVID-19 crisis gave up considerable ground.
As a result, just before 11 a.m. EDT today, the Dow Jones Industrial Average (DJINDICES: ^DJI) was up 107 points to 25,103. However, the S&P 500 (SNPINDEX: ^GSPC) was down 15 points to 2,977, and the Nasdaq Composite (NASDAQINDEX: ^IXIC) fell 178 points to 9,162.
Warren Buffett remains one of the most closely followed investors in the world, even though his Berkshire Hathaway (NYSE: BRK.A) (NYSE: BRK.B) hasn't fared as well as the broader market over the past year. Today, Berkshire's picking up ground, but the insurance giant's 2% gain pales in comparison to how one of Buffett's choices for the Berkshire portfolio is doing. StoneCo (NASDAQ: STNE) is lighting up the market with its gains, and the Brazilian company's performance offers some new perspective on the state of the global economy.
Source Fool.com
