The Big Short investor Michael Burry says Venezuela’s recent U.S.-led regime change could weaken one of America’s biggest adversaries.
Burry, who correctly predicted the subprime mortgage crisis in 2008, said Russia may face consequences after the U.S. toppled Venezuelan President Nicolás Maduro early Saturday, the investor wrote in a post on his Substack newsletter, Cassandra Unchained.
Shortly after Maduro’s capture, President Donald Trump said the U.S. would be more involved with the country’s abundant oil reserves. He put the onus on U.S. oil companies to improve Venezuela’s oil infrastructure with billions of dollars of investment and claimed the U.S. will sell the oil to other countries.
Although this may take five to seven years, Burry estimated, increasing the flow of Venezuelan oil could undercut Russia’s income and influence.
“Russia oil just became less important in the intermediate and long -term,” wrote Burry.
