Enrique Abeyta:

Michael Burry of ‘Big Short’ Fame Discloses Bets Against Palantir and Nvidia

Investor Michael Burry – who rose to fame for predicting the U.S. housing market crash ahead of the 2008 financial crisis – disclosed on Monday that his hedge fund, Scion Asset Management, has taken out puts against tech heavyweights Nvidia (NVDA) and Palantir (PLTR). 

Palantir raised its full-year revenue outlook to $4.4 billion and beat estimates for third quarter revenue, but the company's shares fell as much as 7% early Tuesday amid questions about the stock's valuation.

Shares in Nvidia, which will report earnings on Nov. 19, fell by more than 2% in the first hour of trading on Tuesday before paring some of those losses. In an interview with CBS News on Sunday, President Donald Trump said the U.S. would not allow Nvidia to sell its top-of-the-line chips to Chinese buyers as a matter of national security.

Burry's bearish market outlook and puts on Palantir and Nvidia line up with recent market predictions from Wall Street leaders — from Goldman Sachs' David Solomon to Morgan Stanley's Ted Pick — that investors should brace for a course correction on hyperinflated valuations over the next several months.

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Ari Goldschmidt:

Elon Musk’s $1Tn Tesla Pay Deal To Be Rejected by Huge Norway Wealth Fund

Norway’s sovereign wealth fund has said it will vote against a $1tn (£765bn) pay package for the Tesla chief executive, Elon Musk.

The fund, which is the biggest national wealth fund in the world, said that while it appreciated “the significant value created under Mr Musk’s visionary role” it would vote against his performance award.

“We are concerned about the total size of the award, dilution and lack of mitigation of key person risk – consistent with our views on executive compensation,” it said. “We will continue to seek constructive dialogue with Tesla on this and other topics.”

The warning from Norges Bank, which is the seventh biggest single shareholder in Tesla with a stake worth $17bn, comes two days before the carmaker hosts its annual shareholder meeting.

On Thursday, investors will vote on proposals for an unprecedented incentive package that could make Elon Musk the world’s first trillionaire.

If Musk increases the value of Tesla from about $1tn to $8.5tn over the next 10 years, Musk will receive new shares that would push his stake in the company from nearly 16% to more than 25%. This would increase the fortunes of the world’s richest man to more than $2tn.

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Davis Wilson:

$1.4 Billion in Crypto Positions Liquidated, As Bitcoin Hits Its Lowest Price Since June

A whopping $1.4 billion in crypto positions have been liquidated in the past 24 hours, with $391 million in bitcoin long positions and $20.2 million in shorts, CoinGlass data shows.

Bitcoin continues its downward trajectory, dropping to its lowest level since June on Tuesday morning as risk appetite wanes. A combination of ETF outflows, macro and geopolitical concerns, and increasing concerns around digital asset treasuries selling are weighing on the asset, as the Bitcoin Fear and Greed Index hits 21, “extreme fear.”

The asset is more than 17% below its October all-time high, “marking its weakest start to November since 2018,” said Timothy Misir, head of research at Blockhead Research Network.

Maja Vujinovic, CEO and cofounder of digital assets at FG Nexus, says that too many traders were using borrowed money to bet on prices going up.

“The next few days matter: if bitcoin can stay above $100,000-$105,000, it might simply be a healthy reset. If not, we could see a deeper drop,” she said. “Big investors and companies should be cautious but also watch for smart buying opportunities, since the broader economy and market mood are still shaky.”

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