Archive for September, 2014

Bloomberg Businessweek: Jen Not Buying Expansion Goldman-Morgan Stanley Pitching

Even with Morgan Stanley and Goldman Sachs Group Inc. sounding the all-clear, Stephen Jen is inclined to stay in the bunker.

The co-founder of London-based hedge fund SLJ Macro Partners LLC and former chief currency strategist at Morgan Stanley is pushing back against research by economists at his one-time employer and Goldman Sachs that the U.S. and global economic expansions have long to run.

“I don’t find their argument persuasive at all,” Jen wrote in a Sept. 9 note to clients. “I see the probability of recessions being higher, not lower.”

Read the original article on the ‘Bloomberg Businessweek’ website.

The Telegraph: Global banks retreat as the US and China tighten in lockstep

Stephen Jen, from SLJ Macro Partners, said fresh carry trades have washed over these countries yet again, masking risks. “Economic fundamentals have continued to worsen and current account deficits have widened again. Few have undertaken any meaningful structural reforms. They are vulnerable to a shock,” he said.”

Read the original article on the ‘The Telegraph’ website.

FT: Transatlantic splits push dollar higher

“We’re moving into a new phase. QE3 will no longer be around in a couple of months’ time and we’re moving towards the first rate hike,” said Stephen Jen, head of the hedge fund SLJMacro. “An undervalued dollar has a chance of finding its normal level … having been depressed by the Fed.”

Read the original article on the ‘FT’ website.