BREAKING: Micheal Burry Bets $1.6 Billion On Market Crash
Michael Burry, known from 'The Big Short' movie, makes big bets against major stocks. His company's recent moves and past predictions are drawing attention.
Michael Burry, famous for his predictions in the movie "The Big Short," has bet against major stock indexes, based on Monday's reports.
Burry's company, Scion Asset Management, bought options valued at $739 million against the Invesco QQQ Trust ETF and another set valued at $886 million against the SPDR S&P 500 ETF. These options allow him to sell stocks at a set price in the future, usually when expecting prices to drop.
The details of how much he paid for these options are not known. Also, we don't know if he had other related trades.
Burry became well-known for correctly guessing the 2008 financial crisis. The story was told in a book in 2010 and a movie in 2015.
This year, the S&P 500 grew by 17% and the Nasdaq 100 by 39%. Big companies like Nvidia and Meta Platforms have driven this growth.
Burry's company sold its shares in Chinese firms like JD.com and Alibaba. It also sold shares in some American banks and the First Republic Bank.
The company increased its investment in the online luxury store RealReal Inc and bought new shares in companies like iHeartMedia, HanesBrands, and Warner Bros. Discovery.
Shares of iHeartMedia and HanesBrands dropped this year, but Warner Brothers Discovery shares grew by 43%. The company also bought more shares in the iShares MSCI Japan ETF.
Scion Asset Management didn't comment on this. Their investments are shown in reports called 13-fs, which show the past three months' holdings. These reports help people see what big investors are doing.
Last year, Burry got attention when he sold many of his investments and bought shares in the prison company Geo Group Inc. Now, he doesn't own those shares anymore.
Reported by Coinpaprika News
