Casson shorts Spanish stocks on debt strife

Henderson Horizon Pan European Alpha manager Paul Casson has initiated short positions in a basket of Spanish stocks on expectations of a Greek-style sell off.

Casson says similar to the selling pressure Greek equities faced over the country’s well-documented debt concerns; Spain’s fiscal problems could also lead to a severe correction. However, while Casson says the Greek Government is now ready to address the problems, he believes Spain is reluctant to act. Casson has moved net short in Spain to take advantage of an expected wave of short selling. “We think these positions will be relatively short term as we hope these troubled European countries will follow the lead of Ireland and Latvia in formulating a credible fiscal plan,” the mana...