Dalio: The Federal Reserve is fueling a bubble and monetizing government debt

Jinse Finance reported that Bridgewater Fund founder Ray Dalio stated that the Federal Reserve's previous quantitative easing was "a stimulus for depression," while the current quantitative easing is "a stimulus for bubbles." When the supply of US Treasuries exceeds demand, and the Federal Reserve is printing money and buying bonds, while the Treasury is shortening the maturity of the debt it sells to make up for the lack of demand for long-term bonds, these are all classic late-stage dynamics of the "big debt cycle." Because the fiscal side of US government policy is now highly stimulative (attributable to the huge existing outstanding debt and massive deficits, financed by large-scale issuance of government bonds, especially with relatively short maturities), quantitative easing will effectively monetize government debt, rather than simply re-injecting liquidity into the private system. This is what makes the current situation different, and it seems to make it more dangerous and more inflationary. This looks like a bold and risky "big bet," betting on growth, especially growth brought by artificial intelligence, and this growth is financed through very liberal easing of fiscal policy, monetary policy, and regulatory policy. We will have to monitor closely in order to respond appropriately. (Golden Ten Data)