Burry's short Nvidia and Palantir sparks tech sell-off scare
After "Big Short" Burry issued a bubble warning two weeks in advance, he showed through a 13F report that he was shorting Nvidia and Palantir, believing that the artificial intelligence bubble might collapse. The 13F report disclosed by Bury's Scion Asset Management showed put option positions in the two tech giants accounted for 80% of the portfolio weight and were worth more than $1 billion in nominal terms. Burry warned of low returns on AI investment and predicted that leading companies in the current AI boom may collapse. The stock prices of Nvidia and Palantir were affected, and Palantir's stock price fell 8% before the market opened. U.S. technology stocks suffered a sell-off, the Nasdaq plunged more than 2%, and investors were worried about high valuations. Wall Street CEOs collectively issued warnings, indicating a possible correction in the market.