(Reuters) A record slide in the Chinese currency in June has paid rich dividends for some of the world’s top macro hedge funds, though they say those trades do not reflect growing bets on an economic crash.The world’s second biggest economy certainly has its problems. It is exposed in any escalation of its trade conflict with Washington and its massive debt pile has raised concerns about the health of its banks and state-owned companies. And betting against its yuan CNY=CFXS, either through the offshore markets CNH=D3 or currency derivatives CNYNDFOR=, has been a hedge fund favorite for years.
Hedge Funds Embrace China Yuan Short Trade, but no Doomsday in Sight
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