- Ray Dalio, Bridgewater Associates founder, says the US bond selloff is far from over as government and corporate borrowing surges.
- Dalio argues an expanding supply of bonds is pushing up yields, raising borrowing costs and increasing the debt level further.
- Dalio says the spiral will not end until higher rates weaken the economy and financial markets enough to rebalance supply and demand.
- The warning follows weakening demand from some of the world's biggest traditional bond buyers, per Bloomberg.