Hendersons predicts war sell-off

Any equity rally in the wake of a Gulf war will probably not offer sustained upward momentum and may instead attract significant selling, according to Richard Prew, Hendersons' UK hedge fund manager. Prew predicted that following a short and 'benign' war in Iraq there could be a 20% rise in the market. But, he added: 'I would say it is probably going to be a sellable rally, as the structural imbalances in the economy have not gone away.' Prew cited the US and UK hiatus in corporate and consumer expenditure in recent months as longer-term difficulties. 'I see equities going sideways over...