Billionaire hedge fund founder David Tepper mentioned his massive wager after the Federal Reserve’s price minimize was to purchase Chinese language shares. “I assumed that what the Fed did final week would result in China easing, and I did not know that they have been going to convey out the massive weapons like they did,” Tepper instructed CNBC’s “Squawk Field” on Thursday. “And I believe there’s an entire shift.” “We bought just a little bit longer, extra Chinese language shares,” Tepper continued. “And so, I’ve limits, historic limits. I most likely mentioned a very long time in the past, I do not go above 10% or 15%. Nicely, that is most likely not true anymore.” In reality, the founding father of Appaloosa Administration mentioned he might have doubled his restrict to China equities, saying he purchased extra of “every little thing” reminiscent of large-cap tech giants Alibaba and Baidu after the U.S. lowered rates of interest earlier this month. “It is every little thing. Now, I might like to see a pullback, OK,” he mentioned. “I’ll have one other newfound restrict, OK, in a pullback.” Tepper has grown optimistic on the China market this month after state media on Thursday afternoon mentioned Chinese language President Xi Jinping and different high leaders affirmed the federal government’s efforts to stimulate the economic system. That comes after China earlier this week unveiled rate of interest cuts , in addition to different measures to assist the property market. “They promised to do increasingly and extra. OK? And that is very unusual language, particularly for, , any central banker, however particularly over there,” Tepper mentioned. “And final night time, , we heard that they have been going to have some sort of assembly, however they sort of blew away expectations on the fiscal stimulus.” FXI 1D mountain iShares China Massive-Cap ETF The iShares China Massive-Cap ETF (FXI) rallied greater than 6% following Tepper’s feedback, extending its positive factors from a profitable session for Chinese language and Hong Kong shares. Tepper additionally famous the Chinese language market is cheaper than U.S. equities. “You are sitting there with single a number of P/Es with double-digit progress charges for the massive shares that commerce over right here,” Tepper mentioned. “That is sort of versus what, , the 20-plus on the S & P.” As a part of a China play, Tepper mentioned that he would purchase Wynn Resorts and Las Vegas Sands . The on line casino shares popped 7% and almost 6%, respectively. To make sure, rising geopolitical considerations together with additional tariffs between the U.S. and China have spooked many traders away from the China market. Nevertheless, Tepper dismissed these dangers. “My counter wager is that I do not care,” he mentioned.