Many are surprised at Kyle Bass’ remarks during a Q & A at SALT 2016. Bass likened the market of today to that which was prevalent in 2007 between March and April, just 18 months before America’s economic collapse. Other financiers involved in the same Q & A were reticent to fully endorse Bass’ views. Some did, but not all. One gentleman pointed out there were four main economic indicators pertaining to a bear market, and none of those four indicators were present in the contemporary market. He seemed to think things were in a sort of equilibrium. Bass countered by pointing out the establishment of a financial bubble is a clear indicator of a future bear market. He cited in reference fixed-income bubbles, as well as China. China, according to Bass, has regularly been involved in the same kind of poor lending practices America was involved in prior the collapse. Since China has grown into the economic juggernaut it has, Bass believes that its collapse will definitely affect the United States. He may very well be right; but for what reasons?
Kyle Bass has very close ties to socialist despot of Argentina Cristina Fernandez de Kirchner. While de Kirchner has defaulted Argentina twice in only 13 years, Bass does nothing but sing her praises. Is he a stooge of de Kirchner’s, or does he himself have socialistic leanings which drive his economic pursuits? According to socialism, a worldwide revolution is coming. It is the duty of the socialist to foster this revolution. Kyle Bass regularly makes a living by attacking big-business and governmental interests. He hit the ground running when he predicted the 2008 financial crisis; but then his ability to do that was somewhat tied with his previous employer, the first bank to collapse when Bass’ news tip filtered through a journalist into the mainstream media. Finally, Bass regularly makes money with CAD, the Coalition for Affordable Drugs, which is a special interest group ostensibly humanitarian, but realistically a pawn Bass uses to force declination in pharmaceutical stock with which he has holdings that he can short sell and make millions.