Stock’s High Close Is Low Blow to the Technicians at NYSE
The nation’s biggest stock market is having a little problem with its priciest stock.
Shares in Berkshire Hathaway Inc., the Omaha-based conglomerate controlled by billionaire Warren E. Buffett, traded above $10,000 Monday, the first time any stock has reached five-digit territory. It closed at $10,200, up $400.
That was great news for Berkshire holders. But for technicians at the New York Stock Exchange, it meant trouble.
The Big Board was forced to distribute Berkshire price quotes via an old-fashioned electronic messaging system to financial news services, while technicians tinkered to accommodate the extra digit. It wasn’t clear when the NYSE would be able to transmit the price the normal way.
Berkshire’s price is way above even the bluest of blue chips on Wall Street. While most companies will “split” the price of their stock when they feel that it gets too expensive, Buffett has said that he doesn’t believe in splits.
There was no news Monday to explain the stock rise. On Friday, Berkshire reported a sharp decline in third-quarter earnings because its insurance business was hurt by Hurricane Andrew.
