Warren Buffett warns stock market has become a casino amid record valuations

Investor Warren Buffett cautioned that the atmosphere in equity markets has taken on a gambling‑like character, saying investors are behaving like players in a casino. Speaking at Berkshire Hathaway’s annual meeting, he warned that short‑term speculation is rising while long‑term, fundamentals‑based investing is being ignored.

Buffett pointed to his long‑used “Buffett Indicator” – the ratio of total U.S. market value to GDP – which has climbed above 233%, a level he previously flagged as dangerous. He likened the current over‑valuation to the dot‑com bubble, urging investors to focus on solid companies with strong balance sheets and sustainable business models rather than chasing quick gains.