DJ Janus' Bill Gross: China Stocks are My Next Short-Selling Target -- Barron's Blog
Legendary bond investor Bill Gross has his next target for short-selling: China's red hot stock market.
Gross, who last year left Pimco for Janus Capital Group ( JNS), posted the sentiment on Janus' Twitter feed on Wednesday:
Gross German Bund "Short of a lifetime" update - it's happening. Up next -China Shenzhen index. Not just yet...
Gross made the call of the year on April 21 by saying the German bond market is "the short of a lifetime." Bund yields promptly rose sharply, rattling global markets for the next few weeks. That happened, but Gross' Janus Global Unconstrained Bond ( JUCAX) didn't profit, leaving Gross to explain why in his latest letter to investors.
His vaguely worded tweet on Wednesday comes as China's mainland stock market is zooming higher. China "A-shares," which trade in Shanghai and Shenzhen and are denominated in yuan, have benefited from looser capital rules in China and anticipation that China's central bank will take additional steps to shore up economic growth. The Shenzhen Composite Index has nearly tripled over the past year.