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Bridgewater's Dalio - Global Depression: Fed's next move toward QE, not tightening

cnbc.com  ( Original )
JAN 20, 2016

Amid the global market turmoil, the Federal Reserve is more likely to ease than tighten interest rates again, Ray Dalio, founder of the world's largest hedge fund, said Wednesday. 

"The risks are asymmetric on the downside, because asset prices are comparatively high at the same time there's not an ability to ease," he added. "That asymmetric risk exists all around the world. So every country in the world needs an easier monetary policy." 

"It's going to be much more difficult this next time," he said, because the U.S. needs movement on fiscal policy from lawmakers in addition to just monetary policy from the central bank.

Dalio's Bridgewater Associates has $155 billion in assets under management and counts the World Bank among its investors. He's advised various U.S. treasury chiefs including, Tim Geithner and Larry Summers.