Ray Dalio sums up 2025: dollar weakens, gold gains, markets shift
Bridgewater Associates founder Ray Dalio reviewed the results of 2025, noting that the rise in US stocks largely reflected a weakening dollar rather than real asset appreciation.
Source Incrypted
Over the year, the dollar fell significantly against major currencies and gold. Gold proved the best-performing asset with about 65% return, while the S&P 500 increased roughly 18%, which translates into a negative real return when measured against "hard" assets. Dalio further argues the US market is overvalued, and a potential Federal Reserve rate cut could exacerbate imbalances. He also points to capital outflows from the US, rising protectionism, and growing interest in safe-haven assets.
Looking ahead, Dalio suggests we can expect further financial market adjustments, including a possible correction in the US and a strengthening role for gold as a store of value.
