Buffett says America’s housing sector “remains in a depression of its own”

Guess we all make mistakes.  Funny how you can find an economist to use any facts or statistics you give them to come up with any answer (interpretation) you desire.  I was speaking with a friend today about filtering out all the static as it relates to signal processing and applying that to analyzing the stock market.  Same principles apply everywhere.  You’ve got to filter out all the noise and get to the core data to base your decisions upon.  Even Warren Buffett admits this is not foolproof and he’s only human after all, like the rest of us.

Here’s to taking in all the available data and learning to filter out the static.

Housing in ‘Depression’

Warren Buffett says America’s housing sector “remains in a depression of its own” but will eventually recover as America continues to create “more households than housing units.”

In the meantime, however, Buffett writes that the company’s housing-related units continue to “sputter.”

He admits that his prediction a year ago that housing’s recovery would probably begin within “a year or so” was “dead wrong.”

Buffett writes that the housing market’s continued weakness is “the major reason a recovery in employment has so severely lagged the steady and substantial comeback we have seen in almost all other sectors of our economy.”

The full story can be found here.  It’s a CNBC excerpt of Warren Buffett’s annual report to shareholders released this weekend.

-Larry