Short Seller Warns on China, Criticizes Fed

Just listening to a Bloomberg TV interview with Jim Chanos, who runs and short-only hedge fund and became famous after shorting Enron.

Naturally, he’s bearish. “The Fed is a joke, the markets are a joke,” he said.

His main focus at the moment is China and he said September condo sales are down 50-60% in some cities according to his research. “The property market is hitting the wall right now,” he said. He’s short Chinese property developers and commodity producers who sell to China.

They don’t let the shorts on TV very often, because they tend to scare everyone. He said China might not be growing at all and a crisis could be coming by the end of the year.