u/Practical-Solutions1

Global markets reeled on fresh geopolitical fears as investors rapidly pulled back risk exposure. Ash Crypto highlighted a massive ₩202 trillion wipeout in South Korea’s stock market. 

The sudden decline followed escalating rhetoric from Donald Trump regarding extended U.S. military action against Iran. Consequently, traders reacted quickly, pricing in prolonged instability across energy and financial markets.

Berkshire Hathaway picked up roughly $17 billion in US Treasury bills at the most recent auction, according to Warren Buffett’s comments on CNBC this week. The company’s cash and equivalents now total about $373 billion, up from $334 billion a year earlier. Buffett noted that stocks still aren’t “substantially” cheaper even after the recent decline, and he compared the current pullback to past drops where markets fell more than 50 percent.

This fits a pattern Buffett has used before major sell-offs. Back in the late 1990s, Berkshire started raising cash and later deployed it once the dot-com bubble burst. The firm also fully exited its position in Nu Holdings (NU) during the first quarter of 2025 after holding the shares for several years.

For stocks right now, this kind of big cash build-up from a major investor can add to selling pressure, especially on growth names and Nasdaq-listed companies that have moved closely with risk assets lately. BRK.B itself may hold up better than most because of the large cash buffer earning steady yields instead of chasing equities.

Anyone adjusting their portfolio because of moves like this, or are you staying the course?