Billionaire hedge fund manager Ray Dalio said he disagrees with Jamie Dimon’s view that it’s time for the Federal Reserve to raise interest rates, saying such a move would be risky.
Dimon, chief executive officer of JPMorgan Chase & Co., said yesterday that the Federal Reserve should increase interest rates sooner rather than later to maintain credibility.
Dalio, speaking at the the CNBC Institutional Investor Delivering Alpha Conference on Tuesday in New York, said economic risks are currrently much more to the downside.
Dalio, the head of the world’s largest hedge fund manager Bridgewater Associates, has warned for some time that the economy is at the end of a long-term debt cycle, characterized by a lack of spending despite interest rates near zero or even negative. He said in an interview in March that consumers will have to be encouraged to spend, which could include sending cash directly to them.
This article was provided by Bloomberg News.