The Dow Jones Industrial Average, which topped 22,000 this summer, could surge to 1 million points in the next century, Buffett said at a Forbes event Tuesday night. Of the roughly 1,500 people who have been added to Forbes' list of richest Americans since Buffett was first included in 1982, "you don't see any short sellers," Buffett said. "Being short in America has been a loser's game.
Toys R Us isn't a public company, but its bankruptcy filing two days ago is already sending shockwaves through the stock market. Feeling the heat is Mattel, the retailer responsible for the wildly popular Barbie and Hot Wheels brands, and also one of Toys R Us' most important suppliers. Short interest on Mattel's stock — a measure of wagers that share prices will drop — has climbed to 16% of shares outstanding, according to data compiled by IHS Markit.
U.S. Treasury yields traded slightly lower Wednesday as investors awaited the Federal Reserve's likely announcement on reversing a massive bond-purchase program begun during the financial crisis. The Federal Open Market Committee concludes its two-day meeting Wednesday afternoon and is set to release a statement at 2 p.m., ET, followed by a press conference by Fed Chair Janet Yellen half an hour later. The Fed has $4.5 trillion in assets on its balance sheet as the result of its stimulative bond-purchase program. Current policy requires the central bank to reinvest the proceeds from maturing bonds. The Fed has signaled it wants to wind down those reinvestments this year and markets expect an announcement on exact timing Wednesday.