Odey European Gains in May From Short JGBs, AUD and Diageo

Yikes! Crispin Odey likes Ben Bernanke and his fiscal policy, at least more than other hedge fund managers can stomach and certainly more than he likes Mervyn King’s. In his last letter written just a week before the Fed’s June 19 meeting, Odey was hopeful that Bernanke would not hint on tapering again, not until a full economic recovery is in picture. He expected bond yields to fall and markets to rally in response to a favorable announcement, but not only did that not happen but China’s shibor rates spiked to highest ever levels, culminating in selloffs in Europe, emerging…