Founder of Bridgewater Ray Galio On Wednesday, he warned that a significant problem with plowing in the field of US debt may have a deep impact on the global economy.
This is the latest Stark WARNING series about the growing American debt from the American Hedge Fund of billionaire, with national debt in the country now standing for over USD 36.2 trillion.
“The first thing is the problem of debt, we have a very serious problem with the supply,” said Dalio Sara Eisen from CNBC Will coincide live In Singapore. “(United States has) to sell the amount of debt that the world will not want to buy.”
He said it was inevitable and “the most important”.
Dalio said that the US deficit must move from the expected level of 7.2% of the gross domestic product to about 3% of GDP.
“It's a big deal. You will see shocking events in terms of how it will be solved, “he added.
His comments, made on the same panel as Salesforce CEO Marc Benioff, come among the tariff Riding markets to markets in recent days. The uncertainty of commercial policy has increased the sense of anxiety on Wall Street, and investors will worry about the impact of the trade war on the global economy.
Asked if the debt problem in the US can lead to a period of savings, Dalio said that the problem can cause debt restructuring, the USA exerts pressure on other countries for the purchase of debt, and even limiting payments to some creditors.
“As we see, political and geopolitical changes that seem unimaginable to most people, if you look at history, you will see these things repeated in a circle” – said Dalio. “We will be surprised by some events that seem as shocking as the development we have seen.”