Einhorn Adds Short Bets as Markets Rally Amid Economic Slump

Hedge-fund manager David Einhorn reduced bets that stocks will rise as equities climbed to a five-year high while U.S. economic growth halted.

“As the market continues to advance, even as the economy doesn’t, we tend to become less enthusiastic,” Einhorn said on a conference call today held by his Greenlight Capital Re Ltd. reinsurer. “We took some gains in our long portfolio and added to our shorts.”