‘Big Short’ Investor Michael Burry Warns of Prolonged Multi-Year US Recession – Economics Bitcoin News

Hedge fund manager Michael Burry, known for predicting the 2008 financial crisis, warned of a “prolonged multi-year recession” in the US. He believes there is no strategy to get us out of “this real recession.”

Michael Burry’s Recession Warning

Well-known investor and founder of the investment company Scion Asset Management, Michael Bury, warned of a “real recession” that will last several years.

Bury is best known for being the first investor to predict and profit from the U.S. subprime crisis that occurred between 2007 and 2010. He is profiled in “The Big Short,” Michael Lewis’ book about the subprime crisis that was turned into a movie starring Christian Bale.

Investor Big Short tweeted about a recession on Tuesday. He wrote:

What strategy will get us out of this real recession? What forces will pull us like this? There aren’t any. So we are really looking at a protracted multi-year recession. Who predicted this? There aren’t any.

Bury has warned of a recession several times in the past. In May, investor Big Short warned of a looming consumer recession and more earnings problems.

In April, he said the Federal Reserve “has no intention of fighting inflation,” adding that “the Fed is all about reloading the money bazooka. So it can come to the rescue and finance the fiscal payment.”

NYU professor Nouriel Roubini, who is sometimes known as Dr. Doom, responded to Bury by tweeting, “Some of us have predicted a long, hard recession and made a detailed case for why we are headed for a Great Stagflationary Debt Crisis.” In another tweet, he wrote:

I myself have argued all year that the coming recession will not be “short and shallow.”

This week, Tesla CEO and Twitter boss Elon Musk also warned of a severe recession. He urged the Federal Reserve to cut interest rates “immediately,” stressing that the Fed is “massively increasing the likelihood of a severe recession.”

Do you agree with Michael Burry about a prolonged multi-year recession? Let us know in the comments section below.

Kevin Helms

An Austrian economics student, Kevin discovered Bitcoin in 2011 and has been an evangelist ever since. His interests are in Bitcoin security, open source systems, network effects, and the intersection of economics and cryptography.

Image credits: Shutterstock, Pixabay, Wiki Commons

Rebuttal: This article is for informational purposes only. This is not a direct offer or solicitation of an offer to buy or sell, nor is it a recommendation or endorsement of products, services or companies. Bitcoin.com does not provide investment, tax, legal or accounting advice. Neither the company nor the author shall be liable, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use or reliance on any content, goods or services mentioned in this article.

Share is Love^^