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Ray Dalio warns higher interest rates will break the economy

Original: Ray Dalio Says Higher Interest Rates Will Break The Economy

Billionaire investor Ray Dalio, founder of Bridgewater Associates, is warning that rising interest rates could break the economy. In widely shared remarks, he argues that elevated rates will strain heavily indebted governments, companies and households, with ripple effects across markets. The warning is drawing attention as investors debate whether central banks can bring inflation down without triggering a recession or debt crisis.

Why now: Investors are anxious about how long central banks will keep rates high and what that means for debt-laden economies

Ray DalioBridgewater Associates

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