Hedge Fund That Sees Hard US Landing Says Selloff to Deepen
- Vantage Point favors Baidu and JD.com, avoids property firms
- Selloff due to seasonality is a chance to ‘scale up:’ Ferres
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The rally in equities is set to grind to a halt as investors come to grips with slowing US growth, and seasonal factors are likely to compound the selling pressure, according to Vantage Point Asset Management.
Tighter lending standards and fledgling signs of slack in the labor market suggest that the US economy is headed for a hard landing, said Nicholas Ferres, chief investment officer of the global macro fund. In July, the money manager took net long exposure for his firm’s main fund to 10% — “virtually flat,” in his words.