Overview

• Ray Dalio, speaking on NBC's Meet the Press, warned that U.S. economic mismanagement, including tariffs and mounting debt, could lead to a crisis worse than a recession.
• He highlighted a potential breakdown of the monetary order, drawing parallels to the 1930s and the 1971 Nixon Shock as historical examples of systemic economic disruption.
• Dalio proposed a '3% pledge,' urging lawmakers to reduce the budget deficit to 3% of GDP to prevent a supply-demand imbalance for debt and broader instability.
• The investor cautioned that unchecked policies could escalate into global economic disruptions, potential military conflicts, and internal democratic challenges.
• Jim Cramer criticized Dalio's grim outlook, arguing that such predictions undermine market optimism and restrict investor confidence.