China's Great Short Seller Suddenly Turns Bullish

Investors at a stock exchange corporation on April 7, 2015 in Huaibei, Anhui province of China.

Photograph: ChinaFotoPress via Getty Images
Lock
This article is for subscribers only.

Jon Carnes is about the last person on Earth you’d expect to turn bullish on China’s stock market.

This is a man who built his career on wagers against Chinese companies, bets so successful that one analyst ranks the 41-year-old among the best short sellers worldwide -- more effective than industry giants from Carson Block to David Einhorn. Carnes’s bearish research caused such a stir in 2011 that he fled China and had to fight off fraud allegations. The ordeal landed one of his colleagues in a Henan province prison.