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Fortune
Fortune
Eleanor Pringle

If you think the current outlook is bad, just wait until the White House can’t find anyone to buy its debt, warns Ray Dalio

Photo of Ray Dalio (Credit: Chris Ratcliffe/Bloomberg - Getty Images)
  • Ray Dalio warns the U.S. faces an imminent debt crisis as its debt-to-GDP ratio climbs past 122%, with experts worried foreign buyers will pull back or raise interest payments, making borrowing unsustainable. He suggests drastic measures may be needed, including debt restructuring, political pressure on buyers, and potentially cutting payments to certain countries.

While Wall Street might be battening down the hatches against Trump's tariff rhetoric and nervously eyeing foreign relations, the fundamentals of the economy are still looking relatively good.

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