Hugh Hendry Quantitative Easing Cycle

1. FED QE
2. Rejects Globalization
3. Rejects China Gaming FX
4. Fed Seeks to Create Domestic Price Inflation Overseas
5. Fed Seeks to Revalue China et al FX Real v Nominal Prices
6. But China Imposes Tighter Credit Controls to Offset Fed Stimulus
7. And Euro Debtor Countries Raise Rates Despite High Unemployment a la 1931
8. And so EM Growth Slows
9. And with a six month lag US / Germany Slows
10. But Zero Lower Bound Restricts Monetary Policy
11. And High Sovereign Debt Restricts Additional Fiscal Stimulus
12. FED do another QE

Hugh Hendry is a fund manager at Eclectica Asset Management. He has become prominent in the United Kingdom for his commentary on the financial crisis. Hendry has been referred to as "the most high-profile Scot in the controversial (Hedge Fund) sector."

Hugh Hendry 2012 Investments

In the next 12 months, we'll see further pathological swings in investor sentiment. Despite my reservations, I'm modestly long equity-market futures, some non-industrial commodities, and some bullish fixed-income positions. We are very bullish agricultural commodities and agricultural equities, and hold a global basket of businesses—with interests ranging from fertilizer to farm equipment.

Hugh Hendry is a fund manager at Eclectica Asset Management. He has become prominent in the United Kingdom for his commentary on the financial crisis. Hendry has been referred to as "the most high-profile Scot in the controversial (Hedge Fund) sector."

Hugh Hendry on the Greece

As for Greece, the end game will be the Greeks rejecting austerity. The euro is nothing but a gold standard lacking flexibility, and the entire onus is on private citizens to take the pain. Eventually, a Greek politician will say, ‘Vote for me, and I’ll get us out of this system.’

Hugh Hendry is a fund manager at Eclectica Asset Management. He has become prominent in the United Kingdom for his commentary on the financial crisis. Hendry has been referred to as "the most high-profile Scot in the controversial (Hedge Fund) sector."