Famed short seller of all things Chinese is voicing his opinion on the recent rally, saying it’s all horseshit, fucking rainbow vomit horseshit.
“I would say that this does feel like it is a dead cat bounce because how much more ammunition really do policymakers have?” Block told Reuters at its New York headquarters. “I just don’t know if there are that many more bullets that central banks could fire.”
The Bank of Japan’s negative rates have backfired, Block said. “You see negative interest rates introduced in Japan, and guess what, that didn’t really provide the relief that they had hoped for,” he said.
“I’ve been very skeptical about the fundamentals of the U.S. economy for a long time,” Block said. “I don’t feel that there have been permanent solutions that have been introduced.”
Block said there has been a tremendous amount of misallocation of capital, as a result of loose monetary policies.“We knew this years ago when we saw companies issuing debt to buy back stock and pay out dividends,” Block said. “We knew that we would be at a point in a few years where when these companies were just really, maybe not mortally wounded, but seriously wounded.”
Block added: “So from a short (selling) perspective, this is a target-rich environment because of that. There are far more companies with fewer legs to stand on than they were a few years ago.”
The old “policy makers are out of ammo” schtick. Now that C. Block is running real money now, he’s become magnanimous with his opinions on all things, particularly those to do with stocks trading substantionally lower.
So surprised.
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Welcome to new Devil Dog, Carson Block. The more Devil Dogs, the merrier the rally.
Block is a genius
There will be nowhere to hide and shorting is very difficult.
This rally is a selling opportunity. Simple as that.
not fond of China products at all. I check labels and I think more and more are doing the same. they can knock-off but the raw materials are not the same and not as required e.g. steel. they can just vanish as far as I’m concerned.
Good luck with that; China’s total dominance of manufacturing goes far deeper than products visible to the typical consumer. One of my client companies manufactures a device that uses a lighted circular power button-type switch; that type of switch is simply not made anywhere outside of Asia now. Despite the incredible amount of research, fighting language issues and ultimately trial & error that was required to find a switch that isn’t total crap, the unit cost is so low that there really is no possibility of such a thing being manufactured here or anywhere in the EU now.
so if this all about China demand, well the lower the better and we will recover on our own thank-you. May as well get it over with now.
The 5-day moving avg of Chinese export trade in USD is -6% yoy. For Chinese import trade in USD it is -14.9% yoy. Both measures have been trending lower since 2010. Six percent growth rate for China is probably more like zero.
http://www.cdc.gov/nchs/fastats/unmarried-childbearing.htm
Number of live births to unmarried women: 1,604,870
Birth rate for unmarried women: 43.9 births per 1,000 unmarried women aged 15-44 years
Percent of all births to unmarried women: 40.2%
Deuteronomy 23:2
King James Bible
A bastard shall not enter into the congregation of the LORD; even to his tenth generation shall he not enter into the congregation of the LORD.
Too many bastards …
Wrong web site. This isn’t a religious web site about Deuteronomy or whatever.
As for marriage, if it was such a good idea for everyone, then the divorce rate would not be between 40 and 50%.
How about the 11th generation? Is that all good with the ancient goat herders/writers?
He is right Of course. Nothing New.