Michael Burry Warns of 12,152-Point Dow Crash as S&P 500 Jumps 5% in 4 Days
Updated
Updated · Yahoo Finance · Aug 13
Michael Burry Warns of 12,152-Point Dow Crash as S&P 500 Jumps 5% in 4 Days
2 articles · Updated · Yahoo Finance · Aug 13
Summary
A 22.6% one-day drop like 1987's Black Monday would erase about 12,152 Dow points from Wednesday's 53,770.27 close, and Michael Burry told subscribers such a decline is a real possibility.
Burry tied the warning to the S&P 500's 5% surge in four days to a record — a move seen only three other times since 1999 — arguing that low volatility and rising prices are drawing in leveraged momentum money near a top.
The VIX stood at 15.28, reinforcing his view that markets are in a complacent low-volatility zone even as the Dow recently crossed 54,000 and hit a 54,744.33 intraday record on Aug. 5.
Burry's bearish stance persists despite cooler July CPI of 3.4% and strong recent Big Tech earnings, with his skepticism focused on whether AI capital-spending demand can hold up.