Michael Burry
· Cassandra Unchained
· August 04, 2026 at 19:50
· ⏱ 1 min read
| Read on Substack ↗
Summary
A 5% four-day S&P 500 surge to a new high has only three historical precedents—3/21/00, 4/23/99, and 11/9/20—each tied to fragile tech/momentum conditions. Burry is focused on forensic hyperscaler analysis and says the SOX and the Momentum trade are the key swing factors, implying heightened caution around the new high.
•The S&P 500 made new highs on August 4, 2026, while the equal-weight S&P 500 had already made new highs and the NASDAQ 100 remains below its all-time high.
•Per Jonathan Krinsky at BTIG, the S&P 500 has surged 5% over four trading days to a new high only three times before: 3/21/00, 4/23/99, and 11/9/20.
•Burry is working on the 4th installment of the Heretic's Guide, a forensic review of the Big Five hyperscalers' earnings and filings.
•Burry concludes that what really matters now is the SOX (semiconductor index) and the Momentum trade.