WARREN BUFFETT: Stocks are going 'a lot higher'
"Stocks are going to be higher," Buffett said to CNBC's Becky Quick on Monday.
Quick asked the CEO of Berkshire Hathaway if he was concerned about the big price swings made by various stocks during Q2 earnings season.
Buffett reiterated that he was a long-term investor, saying that he expects prices to be "a lot higher" 10 years or 20 years from now.
He compared owning stocks to owning a home, saying that if homeowners expected prices to fall 5%, they wouldn't sell their homes in hopes to buy it back for 5% less. They are locked in for the long haul.
This is one of Warren Buffett's classic investing philosophies. Even amid the stock market crash during the global financial crisis, Buffett continued to endorse stocks very vocally. From an October 2008 op-ed for the New York Times.
Over the long term, the stock market news will be good. In the 20th century, the United States endured two world wars and other traumatic and expensive military conflicts; the Depression; a dozen or so recessions and financial panics; oil shocks; a flu epidemic; and the resignation of a disgraced president. Yet the Dow rose from 66 to 11,497.
This annotated chart of the S&P 500 going up offers a sense of how Buffett sees the stock market.
