Latest news with #HaymanCapitalManagement
CNBC
7 hours ago
- Business
- CNBC
U.S.-China global trade agreement will be difficult, says Hayman Capital's Kyle Bass
Kyle Bass, Hayman Capital Management founder and CIO, joins 'Power Lunch' to discuss the trade talks happening between the U.S. and China.
Telegraph
28-04-2025
- Business
- Telegraph
Europe is ‘retirement community for the world', says Big Short investor
A hedge fund boss who predicted the 2008 housing crash has criticised investors for pulling money out of the US and putting it into Europe. Kyle Bass, who was depicted in The Big Short, rote on X: 'Europe is an anti-growth, anti-capitalist, pro-tax, super-regulatory, loose collection of broken economies.' He criticised those who were 'investing haphazardly in Europe', with billions poured into French, German and British stocks among others since Donald Trump took office on Jan 5. Mr Bass, who made billions betting on a housing crash during the 2008 financial crisis, said Europe was 'a travel destination and a retirement community for the world. It could be great but no'. 'The Euro Stoxx 50 has annualised 1.86pc annualised returns for the past 20 years while the US S&P 500 has annualised +10pc returns over the same period. It's been +540pc better to live and invest in the United States over the past 20 years.' To the people investing haphazardly into Europe: Have you been there lately? Europe is an anti-growth, anti-capitalist, pro-tax, super-regulatory, loose collection of broken economies. It's a travel destination and a retirement community for the world. It could be great but no. — 🇺🇸 Kyle Bass 🇹🇼 (@Jkylebass) April 28, 2025 Investors have put record sums into European stocks in the first three months of this year, seeking to shield themselves against volatility in US markets driven by the Trump administration's policies. Some $10.6bn has gone into European exchange traded funds since the start of the year. The investments have helped boost the valuations of Europe's leading stock indices including Germany's Dax 40, France's Cac 40 and Britain's FTSE 100. Mr Bass runs hedge fund Hayman Capital Management, which he set up in Dallas, Texas, in 2005. He rose to prominence after successfully predicting the US subprime mortgage crisis that led to the 2008 crash. He came to be known as one of the investors who successfully 'shorted' the US housing market during the crisis, by taking out massive bets against risky loans given out to homeowners. His multimillion-dollar bets later contributed to the collapse of investment bank Bear Stearns and he was subsequently featured in Michael Lewis's 2010 book The Big Short, later an Oscar-winning film. While Mr Bass is sceptical of Europe, he has been betting on growth in Republican states such as Florida, Texas and Tennessee by buying up land. He hopes to capitalise on internal migrations inside the US from relatively high-tax states run by Democrats to pro-business Red states. Mr Bass, 55, has in the past donated to both Republican and Democratic Party candidates, including California Governor Gavin Newsom and presidential hopefuls Mitt Romney and Ted Cruz. More recently, however, Mr Bass has shown support for Donald Trump and his controversial trade policies. Mr Bass told Bloomberg TV this month that the US needed to 'reset our trade relationships with the rest of the world', even if the country has 'to go through a brief recession in order to rebuild our foundation'. In a separate interview with CNBC, he added: 'In a tit-for-tat trade war, we win, every time. And I mean win, as in, the pain is much greater on their side than it is on our side.' Mr Bass has consistently criticised China, including by blaming the Chinese Communist Party for allowing the spread of Covid worldwide. Mr Trump at one point considered making Mr Bass treasury secretary, according to Bloomberg. The hedge fund manager later publicly backed Scott Bessent, whom Mr Bass has known for years and who now holds the post. In a post on X in November, Mr Bass said: 'Scott understands markets, economics, people and geopolitics better than anyone I've ever interacted with.'
Yahoo
26-04-2025
- Business
- Yahoo
'We win every time': Why 'Big Short' investor Kyle Bass says the US has the upper hand in the trade war
The US will likely outlast China in the trade war, according to Kyle Bass. The "Big Short" investor said he believes China's economy is feeling more pain from tariffs than the US. He thinks trade talks with China are happening, even though China has denied negotiations are taking place. The US is in a good position to come out on top in its trade war with China, according to "The Big Short" investor Kyle Bass. The investor and Hayman Capital Management founder said he believes the US likely has the upper hand in the trade spat. That's because China's economy looks to be more vulnerable to the impact of tariffs, and the US will likely "outlast" China in any negotiations, he told CNBC on Friday. "In a tit for tat trade war, we win, every time. And I mean win, as in, the pain is much greater on their side than it is on our side," Bass said. Beijing is likely feeling more pain from the tariffs than the US due to the imbalance of trade between the two nations, he said. The US imports around $440 billion worth of goods each year from China, he said, around 2% of China's GDP, according to data from the Chinese government. By comparison, China imports around $140 billion worth of goods each year from the US. That amounts to around 0.47% of US GDP, which clocked in at $29.7 trillion last year, per the latest update from the Joint Economic Committee. That suggests China's economy could take a bigger hit if trade between the two nations is disrupted, especially considering China's ongoing economic weakness since coming out of the pandemic. Bass pointed to the nation's economic slowdown and higher yields in China's bond market as signs that investors see greater risk putting money to work in the country. "They are facing a banking crisis, a youth unemployment crisis, a real estate crisis, their 10-year bonds are 160, and they're telling the world they're growing at 5%. It's a complete lie. It's obvious," Bass said. "We are the largest consuming nation in the world. Certainly, we can outlast China." And while China has denied that trade talks with the US are taking place, Bass thinks it's likely that negotiations are underway. "We are certainly having those conversations. China will never admit that we're having those conversations. It will never admit to being, quote, 'the weak one' in the negotiations," he added. "They are certainly in the worse position in these negotiations." Trump told reporters on Wednesday that the US and China were "actively" talking, though a spokesperson for Beijing said that "none of that" was true. On Thursday, a spokesperson from China's Commerce Ministry called on the US to remove all unilateral tariff measures on China "if it truly wanted" to solve the trade conflict between the two countries. The nation, though, walked back some of its tariffs on US imports on Friday, allowing imports of US pharmaceuticals to come into China without being hit with duties. Read the original article on Business Insider Sign in to access your portfolio
Yahoo
26-04-2025
- Business
- Yahoo
'We win every time': Why 'Big Short' investor Kyle Bass says the US has the upper hand in the trade war
The US will likely outlast China in the trade war, according to Kyle Bass. The "Big Short" investor said he believes China's economy is feeling more pain from tariffs than the US. He thinks trade talks with China are happening, even though China has denied negotiations are taking place. The US is in a good position to come out on top in its trade war with China, according to "The Big Short" investor Kyle Bass. The investor and Hayman Capital Management founder said he believes the US likely has the upper hand in the trade spat. That's because China's economy looks to be more vulnerable to the impact of tariffs, and the US will likely "outlast" China in any negotiations, he told CNBC on Friday. "In a tit for tat trade war, we win, every time. And I mean win, as in, the pain is much greater on their side than it is on our side," Bass said. Beijing is likely feeling more pain from the tariffs than the US due to the imbalance of trade between the two nations, he said. The US imports around $440 billion worth of goods each year from China, he said, around 2% of China's GDP, according to data from the Chinese government. By comparison, China imports around $140 billion worth of goods each year from the US. That amounts to around 0.47% of US GDP, which clocked in at $29.7 trillion last year, per the latest update from the Joint Economic Committee. That suggests China's economy could take a bigger hit if trade between the two nations is disrupted, especially considering China's ongoing economic weakness since coming out of the pandemic. Bass pointed to the nation's economic slowdown and higher yields in China's bond market as signs that investors see greater risk putting money to work in the country. "They are facing a banking crisis, a youth unemployment crisis, a real estate crisis, their 10-year bonds are 160, and they're telling the world they're growing at 5%. It's a complete lie. It's obvious," Bass said. "We are the largest consuming nation in the world. Certainly, we can outlast China." And while China has denied that trade talks with the US are taking place, Bass thinks it's likely that negotiations are underway. "We are certainly having those conversations. China will never admit that we're having those conversations. It will never admit to being, quote, 'the weak one' in the negotiations," he added. "They are certainly in the worse position in these negotiations." Trump told reporters on Wednesday that the US and China were "actively" talking, though a spokesperson for Beijing said that "none of that" was true. On Thursday, a spokesperson from China's Commerce Ministry called on the US to remove all unilateral tariff measures on China "if it truly wanted" to solve the trade conflict between the two countries. The nation, though, walked back some of its tariffs on US imports on Friday, allowing imports of US pharmaceuticals to come into China without being hit with duties. Read the original article on Business Insider
Business Insider
25-04-2025
- Business
- Business Insider
'We win every time': Why 'Big Short' investor Kyle Bass says the US has the upper hand in the trade war
The US is in a good position to come out on top in its trade war with China, according to "The Big Short" investor Kyle Bass. The investor and Hayman Capital Management founder said he believes the US likely has the upper hand in the trade spat. That's because China's economy looks to be more vulnerable to the impact of tariffs, and the US will likely "outlast" China in any negotiations, he told CNBC on Friday. "In a tit for tat trade war, we win, every time. And I mean win, as in, the pain is much greater on their side than it is on our side," Bass said. Beijing is likely feeling more pain from the tariffs than the US due to the imbalance of trade between the two nations, he said. The US imports around $440 billion worth of goods each year from China, he said, around 2% of China's GDP, according to data from the Chinese government. By comparison, China imports around $140 billion worth of goods each year from the US. That amounts to around 0.47% of US GDP, which clocked in at $29.7 trillion last year, per the latest update from the Joint Economic Committee. That suggests China's economy could take a bigger hit if trade between the two nations is disrupted, especially considering China's ongoing economic weakness since coming out of the pandemic. Bass pointed to the nation's economic slowdown and higher yields in China's bond market as signs that investors see greater risk putting money to work in the country. "They are facing a banking crisis, a youth unemployment crisis, a real estate crisis, their 10-year bonds are 160, and they're telling the world they're growing at 5%. It's a complete lie. It's obvious," Bass said. "We are the largest consuming nation in the world. Certainly, we can outlast China." And while China has denied that trade talks with the US are taking place, Bass thinks it's likely that negotiations are underway. "We are certainly having those conversations. China will never admit that we're having those conversations. It will never admit to being, quote, 'the weak one' in the negotiations," he added. "They are certainly in the worse position in these negotiations." Trump told reporters on Wednesday that the US and China were "actively" talking, though a spokesperson for Beijing said that "none of that" was true. On Thursday, a spokesperson from China's Commerce Ministry called on the US to remove all unilateral tariff measures on China "if it truly wanted" to solve the trade conflict between the two countries. The nation, though, walked back some of its tariffs on US imports on Friday, allowing imports of US pharmaceuticals to come into China without being hit with duties.
