Anyone who is a regular reader of the site knows that we occasionally get exclusives on Bridgewater Associates. In this case, I found a few unconnected items about Ray Dalio and/or Bridgewater’s thoughts on oil. The quote below comes from Doug Kass’ 15 predictions for 2015. The charts come from a JPMorgan report regarding the commodity (unfortunately the report had no text accompanying the charts). Anyone who has more on his please send to tips(@)valuewalk.com – otherwise what do you think Dalio thinks about oil and would Howard Marks ask if it matters?
Check it out
Corsair Capital was down by about 3.5% net for the third quarter, bringing its year-to-date return to 13.3% net. Corsair Select lost 9.1% net, bringing its year-to-date performance to 15.3% net. The HFRI – EHI was down 0.5% for the third quarter but is up 11.5% year to date, while the S&P 500 returned 0.6% Read More
“In its November 14, 2014 Daily Observations (“The Implications of $75 Oil for the US Economy”), the highly respected hedge fund Bridgewater Associates, LP confirmed that lower oil prices will have a negative impact on the economy. After an initial transitory positive impact on GDP, Bridgewater explains that lower oil investment and production will lead to a drag on real growth of 0.5% of GDP. The firm noted that over the past few years, oil production and investment have been adding about 0.5% to nominal GDP growth but that if oil levels out at $75 per barrel, this would shift to something like -0.7% over the next year, creating a material hit to income growth of 1-1.5%.” – Mike Lewitt, The Credit Strategist