Buffett: not in the market

Warren Buffett, the world's most sucessful investor, is staying out of stocks as they are still too high-priced. Buffett stated that even after three years of falling prices, "we still find very few that even mildly interest us."

He also warns against the trillions of dollars of little regulated derivatives floating around and calls them "financial weapons of mass destruction."
"Central banks and governments have so far found no effective way to control, or even monitor, the risks posed by these [derivative] contracts."

Geoffrey Colvin in Fortune Magazine also pointed out that the present values of stocks imply that profits will grow 76% in the coming year which seems highly unlikely.