By outdoor-nature-child.com In a recent Bloomberg TV interview, billionaire investor Stanley Druckenmiller, who previously managed funds for financial magnate George Soros, reflected on a significant misstep in his investment strategy. He admitted that selling all of his shares in Nvidia was a major mistake. Druckenmiller, who believed he would hold onto Nvidia stock for several years, observed that the company’s share price tripled within a year, leading him to divest prematurely. He acknowledged that Nvidia is a solid company and hinted that he might consider buying back in when prices dip, although he’s currently still grappling with the decision.
When asked about his reasons for selling Nvidia, how much stock he retains, and whether he might buy back in, Druckenmiller expressed his thoughts candidly.
Earlier in the conversation, he discussed the market’s recent confidence in a potential Trump victory, noting that this sentiment is reflected in both bank stocks and cryptocurrencies. Despite this, he stated he would not be voting for Trump, labeling him a “blowhard” lacking the necessary gravitas to be president. He also expressed concerns about Kamala Harris potentially winning, suggesting it would be detrimental to business.
At 71, Druckenmiller predicted that even if Harris were to win, it is “extremely unlikely” the Democrats would control Congress. He suggested that a “total Democratic victory” could lead to a stock market downturn lasting three to six months. He also indicated that the likelihood of a Republican sweep is greater than a Trump victory accompanied by a Democratic-controlled Congress.
Additionally, Druckenmiller criticized the Federal Reserve’s decision to lower interest rates by 25 basis points in September, revealing that his firm, Duquesne Family Office, shorted U.S. Treasuries following that announcement. He believes that the market needs to recalibrate its expectations regarding the pace and extent of future Fed rate cuts.