Does Buffett still like SPY today ?

" From there, I laid out what I think is the real danger: how financial markets are structured today. I explained the “passive bid” problem—how “people are buying the ETF, and that’s driving Apple higher” regardless of fundamentals. I said the danger is that when redemptions spike, “a lot of these funds don’t have cash liquid to absorb those redemptions” and instead “have… taken on leverage specifically so they don’t have to sell.”

With 40% of S&P index money in just 10 stocks, “we’re really in a situation where we’re putting so many of our eggs all in seven baskets. And that’s frightening.”

I also talked about the options market, which I see as one of “two giant f*cking trap doors underneath the market.” When dealers sell calls or puts, “there’s a certain percentage… they have to hedge against,” which can force huge amounts of buying during manias like GameStop. I said, “The entire market has become leveraged gambling. I mean, top to bottom.” The same mechanism can work in reverse, and “when that happens again, you’re going to see options weaponized in the other direction, which I think could be extremely dangerous.”

We also got into specific names and the market darlings. I didn’t hold back on Cathie Wood and ARK Invest. “She promised 40% compounded returns some years back and ARKK has gone nowhere in comparison” The gap between the promise and reality is “just a little bit off.” I said bluntly, “There hasn’t been a piece of pre-order, pre-revenue dog sh*t that these people haven’t fallen in love with.” Without Tesla’s 10x run from late 2019 to mid-2020, “no one ever hears this woman, ever.”

zerohedge.com - Market game rigged and everyone lyingstill