KEY POINTS:
Billionaire investor Warren Buffett says the United States could slip into a recession if the jobless rate increases.
Buffett gave a sobering view of the economy's prospects, including the assessment that holiday retail sales were not looking good despite a post-Thanksgiving holiday burst.
Consumer spending is seen as a key buffer preventing a weaker US economy from sliding into recession.
"If unemployment picks up, we could be in for a recession," Buffett said. The US unemployment rate in October rose to the highest level since August 2006, and was steady at 4.7 per cent in November.
Buffett's comments came after the Federal Reserve cut its benchmark interest rate.
- Reuters
