Ray Dalio Advises Against Panic Selling Amid AI Market Bubble Concerns
Billionaire investor RAY Dalio, founder of Bridgewater Associates, cautions investors against hastily selling assets despite identifying a bubble in artificial intelligence-related markets. "Don't sell just because there's a bubble," Dalio emphasized during a CNBC interview. Historical trends suggest subdued returns over the next decade when markets reach such frothy levels.
Nvidia's robust earnings report temporarily eased concerns about fading AI enthusiasm, with CEO Jensen Huang dismissing bubble talk. Dalio notes that while bubble conditions exist, a specific catalyst—potentially wealth taxes rather than interest rates—would be needed to trigger a downturn.