While we wait for the Bank of Japan announcement, an item from the Wall Street Journal on Chinese stocks
- London-based Algebris LLP, which runs $2.2 billion in equity and credit hedge funds, has been piling tens of millions of dollars into Chinese stocks for the first time since its launch in 2006
- Betting August's sharp market selloff in Asia marked a turning point, according to the firm's founder
- "We are long Chinese equities for the first time in our history," said Davide Serra, chief executive of the firm
- Says the probability of a full blown economic collapse in China is lower than what the market estimates
More at the Journal article, which may be gated: Now Is the Time to Buy Chinese Stocks, Says Prominent London Hedge Fund
The article also refers to Hugh Hendry, who is also favourably inclined to Chinese markets: ...
... remains upbeat on China's economic outlook. He said China's shock currency devaluation in August was driven by short-term capital pressures and wrote in a recent letter to investors: "Time will tell whether we were wrong or just early."