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Ray Dalio warns US influence wanes as China rises, urging investors to prepare for market shifts and diversify.

Market News
17 May 2026
Benzinga Staff Writer
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Neutral
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Ray Dalio, founder of Bridgewater Associates, expressed concerns about the declining global influence of the United States amid China's growing economic power, now estimated at 60-70% of the US economy. After spending significant time in Asia, Dalio noted that many countries are increasingly skeptical of the US as a dependable ally. He highlighted the shift in global power dynamics from a rules-based order to a power-driven system, involving economic, technological, and geopolitical tensions between the US and China. Dalio advised investors to anticipate market turbulence and recommended diversifying portfolios, including allocating up to 15% into gold as a hedge against risks such as currency fluctuations, political polarization, and AI disruptions.

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