Jim Chanos: China Is The 'Gift That Keeps On Giving On The Short Side'

Notable short selling investor Jim Chanos of Kynikos Associates discussed why his short thesis on China remains unchanged. "The China story is the gift that keeps on giving on the short side," he continued. "It keeps on morphing as the credit bubble gets bigger, bigger and bigger and finds different outlets." Speaking from the Sohn Conference, Chanos told CNBC that he was previously short the Macau casinos a few years ago but have since covered the short positions. Chanos added that some of his short China-related strategies which were profitable during 2010, 2011 and 2012 are "going to work again." Chanos also confirmed that he has short positions in several companies within the hard commodity space. He noted that the sector as a whole experienced a "huge rally" as of late but several companies are "setting up for the next leg down." Chanos did not mention any companies but name but did add that if the company is levered and has a negative free cash flow and dependent on China then "we are probably interested in it."