From Forbes:
Jim Chanos, long-time short seller, disclosed earlier this month that he was short Caterpillar (CAT), suggesting commodity-price declines (Cat machines dig some commodities up and prepare land for planting others) and some dodgy accounting on an acquisition make the stock vulnerable.
Since then, Cat shares are down about 6% while the overall market is flat.
This follows a long bull market in Cat, as a globalizing economy and rapid development in China has spurred demand for its machines....MORESee also:
Commodities: Caterpillar At $84 May Only Be Worth $28 (CAT)
"Jim Chanos: Why I'm Short Caterpillar" (CAT)