China’s artificial intelligence stocks entered the second half of 2026 with improving earnings momentum, but first-half results and high-profile bearish positioning by US investors regarding the global AI trade have begun to weigh on sentiment.“It is only a matter of time now,” said Michael Burry, the US hedge fund manager, in a post on Substack on Tuesday. Burry, who famously shorted the American housing market before the 2008 financial crisis and whose story was later popularised in the 2015 film The Big Short, warned of what he sees as stretched valuations in AI-related markets.Burry said he had expanded his bearish...