Buffett Buying Into Bear Sterns?

Bear Sterns (BSC), is spiking 10% on news Berkshire Hathaway's (BRK.A) Warren Buffett is considering a 20% stake in the broker. True or rumor?

Sounds to me like the Countrywide (CFC) rumors a month ago. IF Warren is buying into Bear, it will not be with a purchase of common stock. Now that the news is out he just cannot do it. A 10% jump already illustrates the impossibility he faces in doing anything in public. What he may do is what I postured would be (and eventually was)a potential for Countrywide, although not by Buffett. A private transaction in which he injected liquidity into the broker and in return receive a convertible security that pays a nice fat dividend, at this point probably around 7.5%.

Gone are the days we can follow Buffett before he makes his moves. If Buffett was going to buy common shares, it would have been done already and we would not know about it until the SEC filing much much later.

If I was going to bet, this is just more smoke...