He's turned his eyes on the US auto lending sector.
"What we're seeing is in some markets lenders are lending 125% on used car values ... which should scare the heck out of everybody," he told Fu and his fellow diners at the club.
We've noted in the past that things have gotten so bad in the oil industry that workers have stopped paying their car loans.
"For a lot of workers who don't own a home, particularly in the sun belt or the energy sector, their car or their truck was their main asset," he continued. "That's seeming to turn down now."
It's a turn it seems the entire market is taking, and Chanos also said that that is going to bring out some funny behavior in corporate America .... http://www.businessinsider.com
