Hugh Hendry: We’re Going To Be In A ‘Mad Max’ World If China Listens To The Hedge Funds by Business Insider

Global macro hedge fund manager Hugh Hendry, who was once a famous China bear, says the world would be “over” if China devalued its currency by 20%.

“Tomorrow, we wake up — I mean, I would jump out the hotel window if this was the scenario — but we wake up and China has devalued 20%. The world is over. The world is over,” Hendry told Raoul Pal in an hour-long interview with Real Vision Television, a subscription financial video service.

Pal, a former GLG fund manager and author of the Global Macro Investor newsletter, disagrees with Hendry. So do numerous well-known hedge fund managers who are betting against China’s currency, the yuan.

The yuan depreciation has become a consensus trade among hedge funds, according to Bank of America Merrill Lynch’s Global Fund Manager survey released at the beginning of the year. It has been a challenging trade so far, however, as the People’s Bank of China has been fighting back against the hedge funds in an effort to slow the depreciation of the currency.

See full article here.

Hugh Hendry: We’re Going To Be In A ‘Mad Max’ World If China Listens To The Hedge Funds

Hugh Hendry