{"id":16053,"date":"2023-01-03T01:34:00","date_gmt":"2023-01-03T01:34:00","guid":{"rendered":"https:\/\/crowdfundjunction.com\/blog\/big-short-investor-michael-burry-warns-of-another-inflation-spike-expects-us-to-be-in-recession-by-any-definition-economics-bitcoin-news\/"},"modified":"2023-01-03T01:34:00","modified_gmt":"2023-01-03T01:34:00","slug":"big-short-investor-michael-burry-warns-of-another-inflation-spike-expects-us-to-be-in-recession-by-any-definition-economics-bitcoin-news","status":"publish","type":"post","link":"https:\/\/crowdfundjunction.com\/blog\/big-short-investor-michael-burry-warns-of-another-inflation-spike-expects-us-to-be-in-recession-by-any-definition-economics-bitcoin-news\/","title":{"rendered":"‘Big Short’ Investor Michael Burry Warns of Another Inflation Spike \u2014 Expects US to Be ‘in Recession by Any Definition’ \u2013 Economics Bitcoin News"},"content":{"rendered":"

(Originally posted on : Bitcoin News )<\/b>
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Hedge fund manager Michael Burry, famed for forecasting the 2008 financial crisis, says inflation has peaked in the U.S. but there will be another inflation spike. He expects the U.S. economy to be in a recession \u201cby any definition.\u201d<\/strong><\/p>\n

Michael Burry\u2019s 2023 Economic Predictions<\/h2>\n

Famous investor and founder of investment firm Scion Asset Management, Michael Burry, has shared his 2023 economic predictions. Burry is best known for being the first investor to foresee and profit from the U.S. subprime mortgage crisis that occurred between 2007 and 2010. He is profiled in \u201cThe Big Short,\u201d a book by Michael Lewis about the mortgage crisis, which was made into a movie starring Christian Bale.<\/p>\n

Burry tweeted Sunday: \u201cInflation peaked. But it is not the last peak of this cycle.\u201d He continued:<\/p>\n

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We are likely to see CPI lower, possibly negative in 2H 2023, and the U.S. in recession by any definition. Fed will cut and government will stimulate. And we will have another inflation spike. It\u2019s not hard.<\/p>\n<\/blockquote>\n

Many people on Twitter agreed with Burry. Lawyer John E. Deaton tweeted: \u201cI believe this is accurate.\u201d Economist Peter St. Onge wrote: \u201cThe smart kids agree: lower inflation will be transitory, then Fed cranks up the money printers and does it again.\u201d<\/p>\n

Investment specialist Karel Mercx commented: \u201cMichael Burry has a point \u2026 Inflation usually comes in waves, and there is rarely one wave (see 1970s CPI chart). The five most dangerous words in investing are still: \u2018this time it is different.’\u201d<\/p>\n

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The consumer price index (CPI) chart Mercx shared. Source: Twitter.<\/figcaption><\/figure>\n

Investor Kerry Balenthiran concurred with Burry, tweeting: \u201cAgreed, but the next inflationary spike could end in a decade or more. This is very much like the 1947 to 1965 secular bull market. In that case, there was a post-war inflation that quietened down, followed by an inflationary environment that ultimately peaked in 1980.\u201d<\/p>\n

Some people offered alternative viewpoints. Former broker Rob Bezdjian, for example, believes there will be deflation. \u201cI will take the other side of his inflation prediction \u2026 We will be in deflation for a long time. Bubbles take a very long time to re-inflate,\u201d he opined.<\/p>\n

Burry has shared numerous warnings about the U.S. economy. In November 2022, he warned<\/a> of \u201can extended multi-year recession.\u201d In May, the Big Short investor cautioned<\/a> about a looming consumer recession and more earnings trouble. In April, he said<\/a> the Federal Reserve \u201chas no intention of fighting inflation,\u201d emphasizing: \u201cThe Fed\u2019s all about reloading the monetary bazooka so it can ride to the rescue & finance the fiscal put.\u201d<\/p>\n

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big short<\/a>, Big Short Michael Burry<\/a>, michael burry<\/a>, Michael Burry another inflation spike<\/a>, Michael Burry economic predictions<\/a>, michael burry inflation<\/a>, Michael Burry inflation peaked<\/a>, Michael Burry predictions<\/a>, Michael Burry recession<\/a>, Michael Burry US economy<\/a>, Michael Burry US recession<\/a><\/div>\n<\/div>\n

Do you agree with Michael Burry about inflation and that the U.S. economy will be in a recession? Let us know in the comments section below.<\/strong><\/em><\/p>\n

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\nKevin Helms <\/h6>\n

\nA student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography.

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Image Credits<\/b>: Shutterstock, Pixabay, Wiki Commons<\/em><\/p>\n

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