{"id":17502,"date":"2025-04-18T07:21:35","date_gmt":"2025-04-18T11:21:35","guid":{"rendered":"https:\/\/stateofthenation.info\/?p=17502"},"modified":"2025-04-18T07:22:19","modified_gmt":"2025-04-18T11:22:19","slug":"hedge-fund-tycoon-warns-of-global-financial-collapse","status":"publish","type":"post","link":"https:\/\/stateofthenation.info\/?p=17502","title":{"rendered":"

Hedge fund tycoon warns of global financial collapse<\/span><\/b><\/h1>"},"content":{"rendered":"

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The founder of Bridgewater Associates, Ray Dalio\u00a0<\/span>\u00a9\u00a0<\/span>\u00a0Getty Images \/ Dia Dipasupil<\/span><\/h5>\n<\/div>\n

Billionaire investor Ray Dalio has warned that the United States is facing economic risks far greater than a typical recession, arguing that US President Donald Trump\u2019s aggressive tariff policies and ballooning debt could trigger a breakdown of the global financial system.<\/p>\n

Speaking on NBC\u2019s\u00a0Meet the Press<\/em>\u00a0on Sunday, the founder of Bridgewater Associates said the world is at a critical juncture, marked by profound changes in the political, economic, and geopolitical order \u2013 factors which he says have historically led to severe crises.<\/p>\n

\u201cI think that right now we are at a decision-making point and very close to a recession,\u201d<\/em>\u00a0Dalio\u00a0said<\/a>.\u00a0\u201cAnd I\u2019m worried about something worse than a recession if this isn\u2019t handled well.\u201d<\/em><\/p>\n

Dalio explained that the US economy is confronting several overlapping challenges: rising debt, internal political divisions, growing geopolitical tensions, and shifts in global power.<\/p>\n

\u201cSuch times are very much like the 1930s,\u201d<\/em>\u00a0he warned.\u00a0\u201cIf you take tariffs, if you take debt, if you take the rising power challenging the existing power \u2013 those changes in the orders, the systems, are very, very disruptive.\u201d<\/em><\/p>\n

Asked about the worst-case scenario, Dalio pointed to a potential breakdown of the dollar\u2019s role as a store of wealth, combined with internal conflict beyond the norms of democratic politics and escalating international tensions \u2013 potentially even military conflict.<\/p>\n

\u201cThat could be like the breakdown of the monetary system in \u201871. It could be like 2008. It\u2019s going to be very severe,\u201d<\/em>\u00a0Dalio said.\u00a0\u201cI think it could be more severe than those if these other matters simultaneously occur.\u201d<\/em><\/p>\n

While acknowledging that tariffs could serve as a useful tool to bring back manufacturing and generate revenue, Dalio cautioned that the method of implementation matters deeply.<\/p>\n

\u201cHow that\u2019s done \u2013 whether in a practical and stable way, with quality negotiations \u2013 or whether that\u2019s done in a chaotic and disruptive way that produces great conflict, makes all the difference in the world,\u201d<\/em>\u00a0he said.<\/p>\n

Describing Trump\u2019s recent tariff moves as\u00a0\u201cvery disruptive,\u201d<\/em>\u00a0Dalio said the real test will come after the current 90-day negotiation period ends.\u00a0\u201cWhat was put there is like throwing rocks into the production system,\u201d<\/em>\u00a0he said, warning of\u00a0\u201cenormous\u201d<\/em>\u00a0impacts on global efficiency and costs.<\/p>\n

Goldman Sachs raised the odds of a US recession within the next 12 months to 45% last week, following Trump\u2019s April 2 announcement of a minimum 10% tariff on all imports \u2013 but before he placed a three-month hold on further\u00a0\u201creciprocal\u201d<\/em>\u00a0duties of 11% to 50% targeting dozens of nations. China, however, was still hit with a 145%\u00a0import duty\u00a0\u2013 and retaliated with a 125% levy of its own.<\/p>\n

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\nhttps:\/\/www.rt.com\/business\/615718-ray-dalio-worse-recession\/<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-17502","post","type-post","status-publish","format-standard","hentry","category-uncategorized"],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/stateofthenation.info\/index.php?rest_route=\/wp\/v2\/posts\/17502","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/stateofthenation.info\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/stateofthenation.info\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/stateofthenation.info\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/stateofthenation.info\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=17502"}],"version-history":[{"count":0,"href":"https:\/\/stateofthenation.info\/index.php?rest_route=\/wp\/v2\/posts\/17502\/revisions"}],"wp:attachment":[{"href":"https:\/\/stateofthenation.info\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=17502"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/stateofthenation.info\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=17502"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/stateofthenation.info\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=17502"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}