Warren Buffett confident of Sterling Pounds vs US Dollar

30 April 2008 - In Bershire Hathaway annual meeting, Warren Buffett mentioned that U.S. dollars are likely to remain weak against other currencies, such as Euros or Sterling Pounds:  

"We are happy to invest in businesses that earn their money in euros in France or Italy or sterling in the UK, because I don't have a feeling that those currencies are likely to depreciate against the dollar," said Buffett.

"Overall I think that the U.S. continues to follow policies that will make the dollar weaken against other major currencies....

I feel no need to hedge purchases of companies that earn profits in other currencies." Buffett added that major U.S. multinationals, like Coca-Cola (KO, Fortune 500), are a natural hedge against the dollar, since they earn most of their profits offshore -- which, he said, "will be a net plus over time."