Warren Buffett believes in stocks, although the economy shows no signs of life

Warren Buffett appeared on CNBC this morning, and noted that the economy isn't showing any signs of life yet. He conceded that business is still flat, but that doesn't mean that he is bearish on stocks. In fact, Buffett predicted that the market would turn around before the economy.

Buffett noted that waiting to buy stocks until the economy improves could mean that investors miss the largest stock gains. He still asserts that stocks will outperform cash investments in the long term.