China Skeptic Hugh Hendry Turns Bullish on U.S. Stocks
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Hugh Hendry, whose Eclectica hedge fund returned 31 percent in 2008 betting against U.S. growth, turned bullish on the world’s biggest economy and repeated his concern that a real-estate bubble will derail China’s boom.
“We are more bullish on U.S. growth than most,” the 43-year-old Scot wrote in a letter to clients last month that was obtained by Bloomberg. “We are also more pessimistic on Chinese growth than ever. This makes us bearish on most Asian stocks, bearish on industrial commodity prices, interested in some U.S. stocks, a seller of high variance equities and deeply concerned that Japan could become the focal point of the next global leg down.”