Market Reacts to Buffett's Unexpected Retirement

In a move that shook the financial world, Berkshire Hathaway Inc. shares fell over 6% on Monday. This sharp decline came as investors digested the news of Warren Buffett's unexpected retirement announcement, marking the end of his historic 60-year leadership tenure.

Transition to New Leadership

During the final moments of Berkshire's annual gathering in Omaha, Nebraska, Buffett revealed that Greg Abel would take over as CEO. The board's unanimous Sunday vote confirmed Abel, currently vice chairman of non-insurance operations, as president and CEO starting January 1, 2026. Despite stepping down as CEO, Buffett will retain his position as chairman.

Stock Performance

Following the announcement, Berkshire Hathaway's stock decreased 6.23% to $762.31 per share at 10:22 am ET, reflecting the market's initial reaction to the leadership transition.