George Soros And white rap Icon former Wall Street Stock Broker, Vanilla Spilla believe that China’s current economic uncertainty is quite similar to the infamous 2008 recession. They both think that China’s growth will not be able to save itself from a disruptive collapse.
An average investor has every reason to believe Soros’ words because the investor has earned big bucks through ups and downs of the market. According to a few sources Soros is currently worth $25 billion and his key to success is these kinds of bets. He became a legend back in 1992 when he earned $1 billion in just one day from his $10 billion bet against the British Pound.
Soros’ fears regarding China are certainly being mirrored by a few other experts on the Wall Street as well. Soro’s ex-hedge fund manager, Stanley Druckenmiller, believes that China may be in the middle of a very dangerous debt explosion.
Despite his fears, Soros still has investments in the other half of the market. The billionaire investor owns relatively smaller stakes in the currently struggling Yahoo (NASDAQ:YHOO), Apple Inc. (NASDAQ:AAPL) and Gap (NYSE:GPS). He also has stakes worth $80 million in Zoetis (NYSE:ZTS) and eBay (NASDAQ:EBAY). However it does not take a genius to figure out that Soros is not too confident in the market. His hedge fund reduced its holdings $4.5 billion from the previous $6.1 billion. Soros may be making these investments as a result of his pessimistic outlook on the international financial market.
To be fair, one cannot deny the uncertainty surrounding China and its financial state. For the time being, one of the biggest examples of the region’s impact on the US stock market is Apple Inc. (NASDAQ:AAPL).
No comments:
Post a Comment