Burry: US Economy Can't Afford AI Boom Collapse

Investor Michael Burry has expressed concerns that allowing the AI boom to falter would have significant consequences for the US economy. He argues that the Trump administration cannot afford to let this happen, as the AI sector's success is now crucial to the government and tech giants alike.

Burry, known for his role in predicting the 2008 financial crisis and chronicled in The Big Short, has been bearish on several companies at the center of the AI trade. He has recently shorted Nvidia, Oracle, Palantir, Nebius, Micron, CoreWeave, and expressed skepticism about the durability of returns from massive capital spending.

According to recent disclosures, Trump made over 1,000 trades in July, mostly in tech stocks. Notably, he sold $5M to $25M each in Microsoft and Amazon, before buying back smaller amounts of both.