Bridgewater head on the coronavirus
Ray Dalio is out with his thoughts on coronavirus. There's nothing particularly groundbreaking but it's a good summary.
A few highlights:
- Interest-rate cuts and increased liquidity won't lead to any material pickup in buying and activity
- The market isn't distinguishing between companies
- It's 'interesting' how attractive some companies with good cash yields have become
- There should eventually be a U-shaped or V-shaped recovery for most companies
- Leveraged companies will be hit hardest in the drop
- Doesn't think this will have a longer-term economic impact but can't say that for sure because of political and social instability
