Jim Chanos Says The Biggest Asset Bubble Is China

Kynikos Associates' Jim Chanos said this morning on CNBC and yesterday to Politico that the biggest asset bubble that he sees is China. Chanos said its the fixed income asset bubble in China.

"If you thought Dubai was bad a couple years ago, we did, it has nothing on China," said Jim Chanos.

Chanos added that China's GDP growth is coming on the back of the most massive fixed investment program anyone has ever seen. Chanos does not believe the GDP would be 9% if you applied real depreciation to the fixed asset investment.

iShares FTSE/Xinhua China 25 Index (NYSE: FXI) is trading down 1.01% in the pre-market.