Michael Burry warns investors to reduce tech stock exposure amid AI-driven market bubble fears.

Michael Burry, known for predicting the 2008 housing crash, cautions investors to "reject greed" and reduce exposure to technology stocks as valuations soar due to enthusiasm around artificial intelligence and momentum trading. He compares the current market to the late stages of the 1999-2000 dot-com bubble and advises scaling back on stocks showing parabolic gains. While maintaining a significant leveraged short position himself, Burry warns that short-selling is risky and expensive for most investors. He recommends raising cash and waiting for a better entry point, as history suggests prices will eventually drop significantly despite ongoing market rallies.