Billionaire hedge fund manager Leon Cooperman thinks we’re nearing a bottom in the stock market.
And now Leon Cooperman has added this thoughts to the mix.
In a CNBC interview Friday, Cooperman said that high-yield investors unable to sell their paper were shorting the S&P as a hedge.
“There is no liquidity in the credit market in the high-yield area. They can’t sell their papers, so what they are doing is they are cross-hedging and shorting S&Ps,” Cooperman said. “The S&P will just have to find a level that it is comfortable at. I would have thought that that level is not far from where we are presently.”
Earlier in the day, Larry Fink said on CNBC that the stock market could sell-off another 10% and that oil could test $24.
Cooperman said Fink is likely too pessimistic.
“I don’t think we’ll go down another 10%, but I wouldn’t say it’s impossible.”
NOW WATCH: We tested an economic theory by trying to buy people’s Powerball tickets for much more than they paid
NOW WATCH: Money & Markets videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.