Burry’s view appears to be that inflation will cool and the economy will weaken in 2023, prompting the Fed to cut rates and the government to boost spending in an effort to spur growth — which, in turn, will drive up demand and rapid inflation to rise again.
Burry is best known for his billion-dollar wager against the mid-2000s housing bubble, which was immortalized in the book and movie “The Big Short.” He also bet against Elon Musk’s Tesla and Cathie Wood’s flagship Ark Innovation fund last year and inadvertently laid the groundwork for the meme-stock craze by investing in GameStop before the stock skyrocketed at the start of 2021.
Moreover, the Scion chief last summer sounded the alarm on the “greatest speculative bubble of all time in all things,” warning buyers of meme stocks and cryptocurrencies that they were barreling towards the “mother of all crashes.”
