MarketWatch/Joseph Adinofi/6-8-2022
“Ray Dalio’s hedge fund is once again putting its money where its famous founder’s mouth is. Dalio, founder of Bridgewater Associates, has long warned investors and the general public that the U.S. and Europe are in a state of secular decline, and that China will soon rival, if not eclipse, the U.S. as a global superpower. He also has warned investors against betting on U.S. stocks, and said that he favors “real” assets, like real estate or commodities.”
USAGOLD note: Zombie companies with significant leverage on their balance sheets are highly vulnerable to rising interest rates on the financial side and inflation on the sales side (which diminishes sales and profits). All that stuff about the larger macro picture mentioned above is important but not as important as the general vulnerability at large in the zombie corporate sector.
