Once again, good morning and welcome to squawk alley. Joining me at post nine, sara eisen, mike santoli, carl keent nia has tkne quintanilla has the morning off. A big interview for us from omaha, bullish comments on apple from Warren Buffett. Becky quick is live there, berkshires temporary headquarters for the weekend in omaha, nebraska, with details, especially on ibm. Thank you very much. We talked to Warren Buffett about ibm, apple, a lot of different issues but lets start with ibm. Warren buffett says the case for ibm doesnt make quite as much sense to him as it used to. He told us last night that he went ahead and sold about onethird of the position he held in big blue over the first and second quarters. Thats pretty shocking because Berkshire Hathaway was the largest shareholder and shares of ibm that controlled about 9 of the shares outstanding. Buffett told us they went from 81 million shares down by 25 million. They still hold more than 50 million shares, which means there is
In its life as a Public Company at least and the biggest u. S. Grocer m a deal ever. And for the purposes of our hour, which normally focus on tech, a nice intersection between an old, Old School Business and a new one. Its amazing. Just from a headline perspective and news that affects people, i cant remember a deal this big i mean, maybe aoltime warner, but you cant eat time warner. Its really a way of bringing things together unlike so many people who are this deal is amazing, i see a number of challenges, potential problems with this deal not necessarily getting consummated, but actually making it work. The logistics operation that you need to run a whole foods is way different from one that you need to distribute using ecommerce if i want cheerios and gatorade, whole foods doesnt sell that so how do you blend the whole foods operation for say produce with the stuff that most people eat yeah, i mean, how do you do all that and be successful while still running whole foods in a way
Nearly 14 billion both stocks on the move. Ross, what do you make of this there was a swerve over the last two days about them buying slack. Which is a sass based business in the tech world. They surprised everybody and buy a physical retail e. I think about the store they opened up in seattle as a test maybe they learned something there and thought this could be a trojan horse, not just b about food, but about physical location if you think about how much data they have on all of us and what we purchase and they put a ring around the dma or the local piece and start filling those stores with more than just food, it becomes really, really interesting and scary. Not only retarials, but is this a shot across the bough of every company not named amazon, alphabet, apple, et cetera you know where im going with that well, look, apple is one of the most successful retarials of all time people forget that but the apple stores i think per swear foot, theres nothing else like it, including anyth
Kenmore brands and appliances on the shopping site. So, mario, i guess this is what were used to now. Do we have to look at our portfolios and are they saying that it can be disrupted by amazon its part of the free market system its good for the consumer something to come along with the business only two days ago along with a baseball team. Inflation for the goods and analysts watching this, all they have to do is look at page 41 of their annual report. Appliances are 7. 8 of the companys total revenues, however, thats been the big growth factor on a com space and thats what the street looks for. Do you think some of this is over blown look, mr. Market, that is the volatility in the market where is home depot going to be in the next five years the important element is inflation in the goods they sell they are going to do something material because they are saturated in the u. S. , they have to do something. Im glad that amazon comes along and knocks off everybody it keeps you on your t
Percent right now. Almost 30 points higher in the premarket. In europe stocks were mixed. You see the ft 100 other fraction as the dax index is down. Gains across the board to report on the heels of the record around wall street yesterday. Hong kong, hang seng index and three quarters of 1 . The Health Care Debate rages on. Lawmakers rejected a claim repeal of obamacare yesterday. Details of the smaller version of the bill begins to pick up steam. Tragedy in ohio to report. One person was killed, several others injured after an attraction at the state fair malfunction. Governor john k. Sake ordered alright shut down following the incident. It is a very, very tense situation when you go somewhere to celebrate and you are with friends and sometimes with family. The fare is about the best things in life and tonight but this accident, it becomes a terrible, terrible tragedy. Trade to three people remained in Critical Condition this morning. A dire warning of her travel to mexico. At least