‘Big Short’ Michael Burry Quits Twitter, Warned of Stock Market Crash

  • Michael Burry predicted a painful sell-off months before the recent stock market downturn.
  • The “Big Short” investor quit Twitter after saying he tried to warn people that stocks would crash.
  • Burry sees himself as a “Cassandra”, or someone cursed to make correct predictions that go unnoticed.

Michael Burry has repeatedly warned of a market crash, but his dire predictions have been ignored by many investors. In a tweet on Friday, the money manager of “The Big Short” fame took comfort in his attempts to alert people.

“At least I tried,” the head of Scion Asset Management tweeted shortly before once again deleting his Twitter account.

The S&P 500 has plunged 11% and the Nasdaq 19% this year. Investors have dumped more speculative and aggressively priced stocks in the face of runaway inflation, rising interest rates and threats to global growth such as the Russian invasion of Ukraine and a new wave of COVID-19 lockdowns in China.

Burry’s display name on Twitter was “Cassandra BC,” a reference to the Trojan priestess from Greek mythology who was cursed to deliver true but never believed prophecies. Warren Buffett, one of Burry’s key influences, described him as a “Cassandra” for correctly predicting and profiting from the mid-2000s housing bubble collapse.

Last June, the head of Scion warned of the “biggest speculative bubble of all time in all things” and warned that retail investors were stockpiling meme and cryptocurrency stocks ahead of the “mother of all crashes”.

Burry has pointed to Tesla, GameStop, bitcoin, dogecoin, Robinhood and the hot US real estate market as examples of speculative excess in financial markets. He bet against shares in Tesla and one of its best-known holders, Cathie Wood’s Ark Innovation fund, last year.

“People say I didn’t warn last time,” Burry tweeted in February 2021. “I did but no one listened. So I warn this time. And still no one listens. But I’ll have proof I warned.”

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