Leon Cooperman warns AI boom echoes 1970s Nifty Fifty crash
Macro
Billionaire investor Leon Cooperman warned that the U.S. economy will enter a recession within the next year, drawing parallels between today's AI-driven market and the 1970s Nifty Fifty crash. Speaking to CNBC, the former Goldman Sachs CEO said he expects a recession sometime next year that will likely bring the market down, adding that S&P 500 earnings estimates are mispriced. Cooperman pointed to higher inflation, including a 22% rise in Brent crude since before the Iran war, as a key threat investors are ignoring. He said he is negative on markets overall and is avoiding tech stocks in particular, citing the lesson that the three most dangerous words in investing are 'It's different this time.'
