Warren Buffett's favored investment indicator has recently flashed a bullish signal. Attention is on the upcoming Berkshire Hathaway annual shareholders' meeting in Omaha, Nebraska, where discussions are expected to focus on the U.S. economic outlook and the impacts of tariffs. Since the Trump administration announced tariff policies on April 2, the financial markets have been quite volatile; however, Berkshire's stock continues to outperform the market, having risen 9.6% since the S&P 500 index reached a historical peak of 6144.15 points on February 19, eclipsing the index by 18.4 percentage points.

The Wilshire 5000 index compared to the U.S. GDP stands at approximately 180%, indicating a relatively low level not seen since last September. This signal is interpreted as a sign that U.S. stocks are “relatively cheap,” further supporting the market's belief that a rebound in U.S. equities is likely. In his shareholder letter, Buffett noted the success of Japan's five major trading companies, whose operational models resemble that of Berkshire.

With Buffett recently reducing his holdings in Apple, attention is shifting towards potential investment opportunities in Japan and other emerging markets, a strategy that investors will closely monitor.