The manager who predicted the subprime crisis
“2000, 2008, 2023, it’s always the same story. People full of arrogance and greed takes stupid risks and it fails. Coin is printed. Because it works so well.” It will seem like an obvious comment on the case of Svb, which is also not explicitly mentioned. Except that it comes from Michael J. Burrya US manager known for being the first to predict the subprime mortgage catastrophe that triggered the crisis of 2008.
His story in the movie “The Big Short”
Burry, who manages Scion Asset management, was made famous by the film The Big Shortreleased in Italy with the title The big bet. With protagonists like Christian Bale, Ryan Gosling e Brad Pittthe film recounts the subprime collapse and the unheeded alarms of the few who foresaw it, like Burry.
The deleted tweet
Burry entrusted his comment to a tweet which was later cancelled. The agency Bloomberg sought him out for comment, but the manager did not respond. Burry’s Twitter profile (named Cassandra B. C.) is known on for having recently issued warnings about impending risks for the markets and the economy.
Gloomy forecast
In recent weeks, also on Twitter, he had written that inflation will rise again and advised traders to sell before the meeting of the Federal Reserve of February. Sunday’s tweet recalls fears about the fallout from the bankruptcy Silicon Valley Bank and potential contagion to other US banks.