“Lehman Brothers, for instance, was trading down some 80 percent, but it was a company with a good reputation, a nearly 160-year history, and it looked to be on the verge of finding a buyer or strategic investor.”
“I’m not saying they’re probable, and I’m not sure that my assessment is right. I’m just saying that it seems to me that the odds have increased relative to where they were, and I am just sharing the thinking that leads me to that conclusion.”
Ok, well on Wednesday, Dalio was kind enough to speak to Bloomberg whose correspondents are also in Switzerland and now, he’s calling for “the largest bear market in bonds that we have seen since 1980 to 1981.”
“Tightenings become progressively more concerning because as you move along they’re more and more difficult to get perfect. As we’re progressing, we’re entering a period of greater risk in the nature of the market.”
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