Shumway Says Bet Against China’s Yuan, Buy Moody’s Shares

Chris Shumway, head of Shumway Capital Partners LLC, recommended betting against the Chinese yuan using forward options and buying shares of Moody’s Corp.

“They have limited options within China to deal with their slowing growth,” Shumway said at the 19th annual Sohn Investment Conference in New York. “Our view is they’re growing at 6 percent and decelerating. They either need to add stimulus or the simplest way to do it is through currency depreciation.”