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Ray Dalio, the retired founder of Bridgewater Associates, says that stocks are expensive and that central banks have made big losses. Bitcoin remains strong.
Dalio spells out the awful truth for UK economy
Ray Dalio was interviewed last Friday on Fox Business news and he had a lot of negative comments to make about stocks and central banks. He warned that due to losses, a lot of central banks were operating under “negative capital” and said that this was the case in the UK, where rules specified that the bank had to get capital from the government.
According to Dalio this meant that the UK government had to come up with more money which he reasoned would equal 2% of GDP and consequently 2% under the budget deficit, causing the UK government to borrow more money yet again (or print it).
U.S. political infighting and geopolitical tensions
He said that this same situation would probably not matter as much in the U.S., although he expressed the belief that if it became a political cause then this could change things.
On the current political infighting that…