Bank stocks rose with the rest of the market after investor Warren Buffett said in his 1997 annual report the stock market was not overvalued because of the favorable interest rate environment and the prospect for strong corporate earnings.

For the past two years, Mr. Buffett, chairman of the financial vehicle Berkshire Hathaway in Omaha, has said U.S. stock prices were too high.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.