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Market watchers can’t get enough of Michael Burry’s campaign against AI giants.
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Nvidia’s stock reversal on Thursday sparked memes featuring popular investor “The Big Short.”
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Perry, a vocal skeptic of the AI boom, has bet against Nvidia and Palantir in recent months.
Michael Burry It’s officially a meme.
Investor of “The Big Short” fame ignites social media after he bets on Nvidia and… The chip maker called And other AI companies are on X, which may have contributed to Thursday’s stock market decline.
Puri famously predicted and profited from the collapse of the housing bubble in the United States in the mid-2000s. for him A huge and contradictory bet He was immortalized in the book “The Big Short,” a film adaptation starring Christian Bale as Perry.
Known for Serious warnings Of breakdowns and stagnation, Perry uses the name “Cassandra” on X – a reference to a priestess from Greek mythology who was cursed to speak prophecies that were true but could never be believed.
he Explode again on X In late October, after more than two years of silence, they wasted no time in issuing several warnings about a dangerous bubble in AI stocks.
His hedge fund, Scion Asset Management, revealed days later that at the end of last September Bearish put options contract Nvidia and Palantir have a combined face value of $1.1 billion.
Palantir CEO Alex Karp called the bets “crazy” in a televised interview, prompting Perry to… Return fire That the head of an AI company couldn’t “crack a simple 13F.”
in Posts laterPerry said he was short and exited Palantir’s status in October. Him too It has been terminated Scion registers with the Securities and Exchange Commission, closing it to outside cash.
Recently, it is Targeted Nvidia After Wednesday’s third-quarter earnings beat. He questioned the longevity of its chips, its “give-and-take deals” with other AI companies, and the dilution of its stock.
Some market observers were quick to ridicule his bearish stance on the artificial intelligence boom after Nvidia shares popped more than 5% After winning its profits.
Other commentators mocked Puri’s challenge and willingness to confront the giants of technology and the world. The dominant market narrative.
Still others defended Perry, saying he’s many things but stupid isn’t one of them.
Nvidia shares opened higher on Thursday but fell 3% at market close, and were down another 1% on Friday.
Nvidia It is the world’s most valuable public company with a market capitalization of more than $4 trillion, so its sudden decline sent the entire stock market down on Thursday.
The S&P 500 gave up a 1.9% gain to close 1.6% lower, while the Nasdaq Composite went from a 2.6% rise to a 2.2% decline, signaling a pullback in indices. Biggest swing of the day Since April. Both closed less than 1% higher on Friday.
The reversal led some market watchers to rally behind Perry, celebrating his surprise return and suggesting that perhaps he was right to be skeptical.
They also gave him kudos for profiting from the chaos, though Perry wouldn’t say whether he held onto Nvidia’s trades or benefited from Thursday’s selloff.
Perry has also received praise for his works Palantir Betting, AI stock is down 25% since Nov. 3, when it reported earnings and Burry revealed his options.
Perry was by no means solely responsible for the market’s decline. Investors also soured on Nvidia after analysts pointed to increases in inventories and revenue deferrals, raising concerns that the company’s growth may have been initially overloaded and may slow in future quarters. Moreover, Delayed economic data Data showed that unemployment in the United States rose to its highest level in nearly four years at 4.4% in September.
Perry has not yet posted about the online uproar surrounding his campaign against the AI giants. But his followers may be hearing more from him very soon, as his bio on X says: “Unchained may be coming sooner than November 25th.”
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