Kass: What a Piece of Work Is Buffett!

This blog post originally appeared on RealMoney Silver on May 6 at 7:48 a.m. EDT.

"But break, my heart, for I must hold my tongue."

-- Hamlet, William Shakespeare's Hamlet

Warren Buffett -- our sometime brother, now our Oracle -- doth protest too much methinks in his statement during the Berkshire Hathaway (BRK.A Quote) Annual Shareholders' Meeting, in which he remarked that Wells Fargo (WFC Quote) did not need more capital. According to the Associated Press, Wells Fargo actually does need more capital.

Warren Buffett's comments regarding the limited capital needs of Wells Fargo over the weekend -- he said he did his own stress test -- helped to fuel a remarkable surge in Wells Fargo's shares, in bank stocks and in the market on Monday.

It is my view that, in part, the response to Buffett "talking his book" is contributing to a short-term topping process. As I have mentioned in The Edge (my exclusive RealMoney Silver trading diary) over the past coupe of days, investors should begin repositioning their portfolios with more cash and less flash, as, faster than Superman, greed has now replaced fear.

As Grandma Koufax would say -- or was it Marcellus? -- "Something is rotten in the state of Denmark" when investors respond to the Oracle's remarks by taking up bank stocks by over 15%, as was the case on Monday.

"My honored lord, I will most humbly take my leave of you."

-- Polonius, William Shakespeare's Hamlet

At best, Warren Buffet's remarks were disingenuous.

At worst, as Ophelia related in Act III, Scene I in William Shakespeare's Hamlet, "O! What a noble mind is here o'erthrown!"

Be thou familiar, but by no means vulgar, Warren.

Doug Kass writes daily for RealMoney Silver, a premium bundle service from TheStreet.com. For a free trial to RealMoney Silver and exclusive access to Mr. Kass's daily trading diary, please click here.

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Know what you own: Berkshire Hathaway holds large stakes in stocks such as Wesco Financial (WSC Quote), Burlington Northern Santa Fe (BNI Quote), Moody's (MCO Quote), Washington Post (WPO Quote) and USG Corporation (USG Quote).