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MUMBAI: Michael J Burry, the famed investor who predicted the collapse of the housing market bubble in the US in 2008 and had a movie made about his legendary short position, is now ringing the church bells for another disaster.
The famed investors returned to the microblogging website twitter after an absence of over three months to warn investors of upcoming doomsday.
“People always ask me what is going on in the markets. It is simple. Greatest speculative bubble of all time in all things. By two orders of magnitude,” Burry tweeted late on Tuesday.
Burry’s tweet comes at a time when global equity markets are currently perched at record highs backed by record money printing by global central banks from New York to Tokyo.
The greatest sell off in stock market history seen in March 2020 has been followed by ferocious rebound in global markets as investors backed by record liquidity from central banks have dived headlong into various asset classes.
Burry’s statement that speculation is prevalent in “all things” likely hints at the crazy joyride seen by asset classes as wide ranging as lumber used in house construction to second-hand sneakers besides traditional asset classes like equities, bonds and certain commodities.
The “everything bubble” as market observers call it has in part been driven by the large influx of first-time investors across the world. In India, a record number of dematerialized accounts were opened in the past 14 months as home-locked citizens thronged to the stock market with their savings armed with a mobile trading app.
While Burry’s warning may not be new, only time will tell if investors will be slaughtered like pigs as in the old Wall Street saying “bulls make money, bears make money, but pigs get slaughtered”.
The famed investors returned to the microblogging website twitter after an absence of over three months to warn investors of upcoming doomsday.
“People always ask me what is going on in the markets. It is simple. Greatest speculative bubble of all time in all things. By two orders of magnitude,” Burry tweeted late on Tuesday.
Burry’s tweet comes at a time when global equity markets are currently perched at record highs backed by record money printing by global central banks from New York to Tokyo.
The greatest sell off in stock market history seen in March 2020 has been followed by ferocious rebound in global markets as investors backed by record liquidity from central banks have dived headlong into various asset classes.
Burry’s statement that speculation is prevalent in “all things” likely hints at the crazy joyride seen by asset classes as wide ranging as lumber used in house construction to second-hand sneakers besides traditional asset classes like equities, bonds and certain commodities.
The “everything bubble” as market observers call it has in part been driven by the large influx of first-time investors across the world. In India, a record number of dematerialized accounts were opened in the past 14 months as home-locked citizens thronged to the stock market with their savings armed with a mobile trading app.
While Burry’s warning may not be new, only time will tell if investors will be slaughtered like pigs as in the old Wall Street saying “bulls make money, bears make money, but pigs get slaughtered”.
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