The legendary investor Ray Dalio said that the world is “on the edge” of a global cash order, which is accelerated by the disruptions of the Trump administration tariff.
Commercial tensions are a breach of orders for global, political and international, fueling development and unbalanced trade balance disorders, Dalio, former CEO of Hedge Fund Bridgewater Associates, he said In the post of April 28.
Dalio added that this leads to irreversible damage, and the growing number of importers and exporters, especially between the US and China, drastically reduces interdependence and “creating alternative plans.”
“[They’re] Recognizing that whatever happens with tariffs, these problems will not disappear, and radically reduced interdependencies in the USA is a reality to be planned for. “
Dalio said that the role of America as the world’s world’s largest consumer, and the greatest debt issuer looks more and more unbalanced, and the idea that commercial partners will continue to sell the US and dollars received “naive thinking”.
As a result, more countries can more and more often bypass the US, creating recent retail chains that are based on alternative currencies.
While Dalio did not suggest which monetary alternative would eat the dominance of the dollar, supported the “hard money” assets, such as Bitcoin (BTC) and gold in times of global uncertainty.
Less fight, greater coordination
The billionaire called for more tranquil and coordinated operations of the US to solve the problem of commercial imbalances and becoming more self -sufficient.
Coping with the problem of the US government’s debt would lead to much better results than “the path on which it seems,” said Dalio.
“Unfortunately, we have not seen better ways so far and instead we have seen disturbing fights and volatility they teach, lead to irreversible bad consequences.”
Dalio advised investors and decision -makers to redirect their attention from everyday market movements and policy advertisements to deal with these “big basic changes” in world order.
Related: Bitcoin’s unthreatening dismissal increases during the uncertainty of the trade war
China was most affected by Trump’s administration tariffs, with 145% duty for all imports, while the neighbors of the USA, Canada and Mexico were struck by a 25% tariff for most goods.
Several key production countries of Bitcoins, such as Thailand, Indonesia and Malaysia, have also been affected with appropriate rates of 36%, 32%and 24%, which has already affected the import of machines to the USA.
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