Investing.com - The Future Investment Initiative summit in Riyadh, Saudi Arabia, brought together the world's leading financial executives.
Virtually all of them agreed on one thing: It's hard to be optimistic about the global economy.
Ray Dalio, founder of Bridgewater Associates, says he is pessimistic about the global economy next year, something that Jane Fraser, CEO of Citigroup (NYSE:C) also agreed with.
"If you take the time horizon, the monetary policies that we're going to see will have major effects on the world, it's hard to be optimistic about that," Dalio said, as quoted by Bloomberg. He adds that the upcoming US elections will focus on irreconcilable differences related to wealth and power.
Speaking alongside Jamie Dimon, CEO of JPMorgan (NYSE:JPM), Fraser echoed those comments. "We're sitting here against the backdrop of the terrorist attack in Israel and the events that have unfolded since, and it's desperately sad," he notes. "That's why it's hard not to be a little pessimistic."
The theme of this year's event focuses on charting new paths for business and the global economy. In the context of war, Dalio said that "the real issue is how we treat each other".
"If we can keep the peace, if we can have a healthy, competitive environment without having a war among ourselves, we'll be in good shape, we'll make adaptations," he says. Earlier this month, Dalio struck a similar tone on US-China relations, noting that ties between the two economic superpowers are "on the brink of the abyss".
Meanwhile, Larry Fink, CEO of BlackRock (NYSE:BLK), warns that the US Federal Reserve "is going to have to raise rates higher" for longer, meaning that by 2025 there may be a soft or hard landing. For 2024, he expects neither.
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Translated from Spanish using DeepL.