https://www.youtube.com/watch?v=Xpj1YDUKxyEThe economy cannot be turned on again “like a spigot,” the famed activist investor, who at age 84 has weathered decades of past financial crises, cautioned on Friday.
Icahn said that he was not buying stocks right now, and instead hoarding cash, because he thinks the stock market is overvalued.
This is a time for investors to be “extremely careful,” he told Bloomberg, saying, “short-term, you may have some big downdrafts.”
He did say “there will be good opportunities” to buy stocks during the sell-off, however.
Icahn’s biggest trade right now is a multibillion short position against the commercial real estate market, which he has previously predicted will “blow up” in similar fashion to the 2008 financial crisis.