Michael Burry Shifts Position to Put Options on AI Infrastructure Stocks Amid Rising Credit Strain

Investor Michael Burry has adjusted his bearish stance, covering his direct short positions in key AI and infrastructure names—including Nvidia, Oracle, Palantir, Nebius, Micron, and CoreWeave—and replacing them with put options expiring into late 2027.
Burry notes that while Washington views the AI buildout as a core economic engine and cannot afford to let it fail, the U.S. government is in its weakest modern financial position to combat a crisis.
Meanwhile, mounting pressure in credit markets—driven by 10-year Treasury yields sitting near multi-year highs—is making borrowing increasingly difficult for data center builders and GPU rental firms.