|Ray Dalio – CIO – Bridgewater Associates
The Big Picture
The global economy is in the Goldilocks part of the economic cycle, not too hot, not too cold. Average growth rates are tempering volatility and keeping threats of unsustainable debt flows and shocks from monetary policy at bay. This period of “equilibrium” should last for the next few years. Longer-term, the biggest worries are social and political conflicts, high debt and non-debt obligations (i.e. pensions), and limited central bank options to create stimulus during a crisis.