New Delhi, Aug. 5 -- Michael Burry, the investor made famous by The Big Short, is standing by his bearish view, even as Wall Street continues to surge. With the S&P 500 hitting a record high, driven by a relentless AI-fuelled rally, Burry is refusing to join the optimism, saying the market could still face a sharp sell-off, much like the 1987 stock market crash.

"I continue to believe it is possible we are near a major top, and possibly a 1987-type fall, but the S&P 500 making new highs likely will bring new money into the market," Burry said in a Substack post.

The S&P 500 jumped 1.9% Tuesday to its first record close since June. More than 80% of S&P 500 companies are beating analysts' earnings expectations for the last quarter, accord...