Buffett's Berkshire betting $5 billion on Goldman

OMAHA, Neb. (AP) - Warren Buffett, one of the world's best known and wealthiest investors, is betting $5 billion that the U.S. financial system is not about to collapse.

Buffett's Berkshire Hathaway Inc. (BRKA) said Tuesday it will invest at least $5 billion in Goldman Sachs Group Inc. (GS), a huge vote of confidence for one of the survivors of the credit crisis that felled two of its investment banking peers.

It may be just the shot in the arm that shares needed. Wall Street appeared headed for a higher opening Wednesday, though credit markets remained uncertain about the government's $700 billion bailout plan for banks.

In addition to buying $5 billion in preferred stock, Berkshire also got warrants to buy another $5 billion in Goldman's common stock. Goldman also said late Tuesday it would raise another $2.5 billion in its own public stock offering. ....

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