Hedge fund Vantage Point is slashing its exposure to US stocks and seeking value in China

• The stock market has enjoyed strong year-to-date gains as the economy defied widespread recession predictions.
• But the upbeat trend may be on its last legs, according one hedge fund that has slashed its net exposure to US stocks.
• Vantage Point is positioning for a US hard landing and is seeking value in Chinese equities instead. 

The US stock market has notched impressive year-to-date gains as the economy proved much more resilient than most experts expected.

The S&P 500 share index is up 15% so far in 2023 against broadly bright economic back ground - corporate earnings have been good, inflation has eased rapidly and the job market has held up quite well.

However, that trend doesn't have much room left to run, according to one hedge fund, which is positioning for a pullback in equities.