Kris Sayce editor of free daily editions of 'Money Morning' (who is often wrong) sez "Our bet is investors have underestimated the impact on earnings for Australia's blue-chip resources stocks when the Chinese economy hits the wall. When China stops, prices of the big miners will be hit hard.
Bottom line: if you think BHP looks cheap today at $37.55, odds are that within the next 12 months it will be a whole lot cheaper... if as we expect, Chinese economic growth stops dead.
Chanos is short-selling Brazil's Vale. You could try the same. Be we'd suggest something easier. And that is to look for good opportunities to short-sell the big three Aussie miners: BHP, Rio Tinto and Fortescue".
I'm not going short on these... but no way am i buying them either.
