“This year rhymes with 1998. Russia goes bad. Easing [is]coming from Europe. Sets up 1999…. [oops]I mean 2015,” Tepper told CNBC. “Worldwide money [was]made too easy for where USA fundamentals were in both late 1998 and 2014.”
While there are similarities, investors should not expect the same thing that happen in 1999 to repeat itself in 2015. For instance, in 1999, the S&P 500 jumped 20% and the Nasdaq Composite surged 85%.
Macro hedge fund investors also raised their long exposure to the U.S. dollar but trimmed short exposure to commodities and emerging markets, Final Alternatives reports.
The PowerShares DB U.S. Dollar Index Bullish Fund (NYSEArca: UUP) has increased 10.6% year-to-date and added $208.5 million in new assets this year. [Dollar ETFs Could Maintain Course Next Year]
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Max Chen contributed to this article.