Paul Singer's fund sends bearish letter
Vulture fund manager Paul Singer's Elliott Management sent a letter to clients yesterday saying stocks could ultimately fall 50% from Feb levels. That would target 1700 in the S&P 500.
Singer is a legendary distressed debt manager and extremely combative market participant. He's also been wildly successful, including winning a lawsuit against Argentina's government on defaulted debt. His firm manages $40 billion.
"Our gut tells us that a 50% or deeper decline from the February top might be the ultimate path of global stock markets," the letter said.
That said, they have bought some "shining bargains" in bonds and stocks.
More at Reuters.
