erik is joining us with the latest on ray dalio, thank you very much. macron saying it will spend $100 billion over the next 10 decades to build a huge computer chip complex in upstate new york. it is another major chipmaker who invest in the u.s.. this is a technology analyst for bloomberg intelligence. absolutely massive numbers. what was your reaction to this is to mark -- what is your reaction to this? >> it is a big number eight is over 20 years. if you look at near term, micron , and are looking further out into the future. that is where their sites are in terms of meeting future capacity or demand by building capacity. kriti: i like you use the term near-term. 20 years, who knows what geopolitics looks like? what about u.s. china tensions? >> they do not have as much exposure to china as some of the other companies out there. most of their assembly facilities and manufacturing facilities are away from china. they are slightly better positioned than others. the supply chain is integrated, it will by default impact them over time. i do think on som

i'm with ray dalio there. liz: ray dalio we showed the tweet. cash is no longer trash. you do what a lot of people are considering doing? looking at treasurys, put it in a two-year with yield of 4.1%, park it there before you feel the bottom is reached. >> you have a little risk two years because that has been volatile. you have short duration. you at a point go out on the yield curve to longer 10-year rates as we move into recession. liz: we have about a minute left, david. you have multibillions in assets under management. what is the best advice to investors with a little bit of cash, they are waiting at the moment to put it to work? >> continue to wait. look for short-term investments in bonds and cash. you will get an opportunity to buy at cheaper prices. so wait, be patient, don't panic. wait until we hit the bottom. when you see things like the fed starting to cut rates, they're indicating a pivot we're not yet, that is when you start buying. liz: when you start buying, so says david spika. wonderful to have you, my friend. nice to see you again. folks on a day w

what did ray dalio tell erik schatzker?not want to hold on until he died, he is in his 70's now, 20 years older than can griffin's example at said adele where the you have the transition plan further down the road perhaps and then you also have another was strong language at the top of the story here. really saying ray no longer has the final word and that is really the big change here. so day one in this transition plan, the team is coming also, strong, highlighting who the players are, the question is what happens on the road. this is the first big major succession we've seen. this is almost a 50-year-old term. think about that for a second, what to they look like in the next 50 years? alix: to that point, we see private equity try to do this and not have a good time of the. how can this be different? sonali: what's interesting about that, equity is an hold longer equity term strategy. if you are hedge fund, you are going through tough times every single year potential he. you're trying to scrape you that year. i think it

stuart: to that point ray dalio said he changed his mind because the facts changed. have to be frank with you, i'm not sure what changed recently that makes cash more appealing here. we had an ugly ism number. of course we had the major downgrade in job openings. the facts tend to lend themselves maybe the fed at some point, maybe having an epiphany? >> yeah. look, the facts haven't changed. they just have gotten worse. we've been talking about this with our clients and your viewers since the end of last year that the economy was going to be slowing down. from a rate of change perspective it is getting worse that may be what he is referring to and when you tighten monetary policy into that environment is when you get these downdrafts. that is what we've been living through. look, the fed put themselves in trouble. if they said today they were not going to raise rates the asset prices that they're trying to keep down were going to go through the roof. stuart: yeah. but again, it is tough. there are a lot of things you're dealing with that no fed probably ever had to d

it is the end an era for they ray dalio -- it's the end of an era for ray dalio, giving up control ofater associates, retaining a position on the board and the role of mentor in terms of what his title will be going forward. he started the search for successes way back in 2010 and thinking it would take maybe a couple of years. it obviously took a lot longer than that. at the moment, it seems like things are in place and i have to say, he is leaving on a higher note given the funds that managers did not do well in the early stages of the pandemic. the numbers have been a bit better lately. shery: 12 years in the making, projecting an aura of contentment and relaying a sense of relief. really, it's not just him that struggled to lead the way for succession. we have seen blackstone still having its 75-year-old as ceo. carlyle group also with the cofounder just recently stepping back but we continue to watch the lines of succession for all of these wall street giants had here is a quick check of the latest business flash headlines. credit suisse struggling to hold departures from its pri

i've got to say a lot of folks very willing to go into cash whether it is ray dalio changing his tune on cash is trash or etf's seeing $36 billion of inflows, which is easily at a record good are folks making a mistake by fleeing into cash at the moment? >> i think you could be clever enough -- if you were clever enough to flee into cash at the beginning of the year, it would be a very smart move. i think our point is it is very difficult to turn the bottom. look at the volatility of 5% gain in the last couple days. i think it is very difficult to tie on the bottom. cash may be paying a bit more, you're still losing in real terms. also if you get out, working out when to get back in is very difficult. dani: fair enough, but the concept of a lost decade isn't unheard of. is there any risk of this happening where assets just don't return what they should? we are embarking on qt the likes of which we've never seen before. >> i think there is good reason to think that the returns you are going to have are going to be significantly lower than you've had in the previous couple decades when

jonathan: ray dalio says cash is no longer trash.in this morning, up on the s&p 500 by 1.5%. nasdaq up of your percentage point. driven by what is happening in the bond market with yield ever lower. on a 10-year last week, 4%. right now, 358 on tens and twos. here is where the 10-year -- yields up about five basis points on the 10-year. down eight or nine into the curb. equities up. the dollar beaker for a fifth straight session. the longest losing streak for the dollar going back to september of 2020 one. -- 2020 one. -- 2021. a little earlier this morning, peak rates, peak dollar. tom: absolutely. it was going before australia. not 50 basis points. it was the fuel of the pacific. jonathan: she is right to frame this. many people are on board with it. the more the market rallies, the more likely it is it will not back away anytime soon. that's the cross asset price action. good morning, lisa. lisa: the single names are basically a continuation of the story you are telling. which names do best of the regime you're talking about. the

. >> ray dalio has given up control of bridgewater, the firm he built into the world's largest hedged. the cofounder transferred all of his voting rights to the board of directors and it stepped down as co-cio at the end of september. micron plans to invest $100 billion to build a memory factory in new york. it will get state incentives for the plant, which will generate 50,000 jobs. it comes as the u.s. boosts incentives to reduce reliance on asian suppliers. emerson is in talks with blackstone to sell part of its commercial and residential solutions business. it would mark a sizable deal in an increasingly weak merger market. tom: alice atkins in london, thank you. opec+ is set to discuss an output cut of as much as 2 million barrels a day. the cartel meets in the coming hours. let's head to vienna where manus cranny is standing by. it's been a long time since they have had an in person meeting, why the hurried gathering this time around? manus: this is about re-grasping the narrative. the saudi's warned in august that the markets were broken. that futures prices relative to the re

ray dalio has given control up of bridgewater associates, the firm he built into the world's largestge fund. he transferred all of his boarding rights to the board of directors and stepped down as one of the three co-chief investment officers. hsbc is exploring the sale of the canadian unit as the bank's latest move to streamline amid calls of the largest shareholder to spin off its asian operations. the review is in the early stage and no decisions have been made. a bloomberg intelligence says the sale at fx almost $10 billion -- could fetch almost $10 billion. micron could invest $100 billion to build a memory chip factory in upstate new york. the company will get 5.5 billion dollars in state government incentives for the plant which will generate about 50,000 jobs. coming up, oil extending the rally as opec plus cutting up to 2 million barrels a day of output. a check on the energy markets, next. this is bloomberg. ♪ >> taking a look at the to ahead for australia and new zealand, they are opposed to raise interest rates for 8:53. that 4.1% decline was second only to a 4.4% drop du

alix: that was ray dalio speaking is to today. what is the protection for this market?'s ask linda hunt? >> it's a tough one in this market. you go back to bonds and stocks going higher and everyone was happy and now they are going lower and nobody is happy. then you start to look within sectors and say things which are surprisingly good dividend yields, companies buying back their stock, those are the companies and strategies that have been working the best this year. you still have assets coming down globally. to the extent people are afraid to hold cash, we are happy to hold extra cash exist seems there is so much volatility that the opportunity in fixed income is not lost if the principal comes down. alix: how much cash are you holding? >> we are holding more than usual. it has to do when people want to access their money. kriti: do fundamentals even matter now? dani: jp morgan says if cpi comes in at a certain level,, do we care about cpi? >> it gives us a clue to where the fed will go. if they keep coming in hot, the fed can stop and we can have a pause and see wh

jpmorgan's jamie dimon, steve schwarzman of go ahead man, ray dalio, they're all speakers on the agenda. according to fin tv agenda, jpmorgan made nearly $77 million in investment banking fees in saudi arabia. goldman 42 million. this year jpmorgan taken in 39 million so far. biden may be mad at the saudis. doesn't sound like wall street is. money talks. not just in golf, folks. at a time where the u.s. is bracing for economic headwinds because of biden's domestic policies. the banks are following the money. some of it is in saudi arabia. that does it for "fox business tonight." thanks for watching. "the evening edit" starts right now. ♪ >> out of touch democrats, house speaker nancy pelosi slammed for saying quote, we have to change the subject when she was asked about inflation. well, we have house judiciary's ranking member congressman jim jordan with us, congresswoman beth van duyne, former nypd lieutenant darren porcher, national border patrol council's chris cabrera, childrens scholarship funds darla run foe. "washington examiner" byron york and fox news contributor liz peek. vide

hitting it from linings of ray dalio, imf, world bank officials. what is magic to another 20% hit? we'll explore that with these fine gentlemen later on in the next hour. meantime. taking a look at economy right now that could be going from bad to worse. a lot has to do what is happening at your local gas station. you're not imagining it. prices are moving up. even though oil is moving down today. but the president did seem to indicate something in that jake tapper interview own cnn. that he is ready with a response to the saudis for cutting back on production at the worst of times when the administration had said do not do this. they did it anyway. so what is he planning? after this. ♪ ♪ ♪ ♪ ♪ ♪ new projects means new project managers. you need to hire. i need indeed. indeed you do. when you sponsor a job, you immediately get your shortlist of quality candidates, whose resumes on indeed match your job criteria. visit indeed.com/hire and get started today. [coughing] hi, susan. honey. yeah. i respect that. but that cough looks pretty bad. try this robitussin honey. the real honey y

that is the where folks like ray dalio says you get another big hit in stokes. what about that? >> i do think that is right. i think the smart money says 75 basis points. between yesterday, today the rally, what reserve bank of australia didn't go as much, it created the fed must pivot. the fed doesn't have to pivot at all. they made quite clear they will not pivot at least in september. they did it in september, said he would go 75 in november. he made it very clear. the conversation has been very hawkish from all the fed heads. i don't see necessarily how they can pivot now. i think they will do it and maybe in december, whether 50 or 25, that might be when they start to pivot, i don't think it is happening in november or happening in december. i think they stick with the pldd new year starting to have a conversation about the pace which you're doing it and then what those increments might be. neil: so bottom line, no herculean change in the reality of the moment, right? >> i don't think there is any herculean change. inflation rate, pci on friday was even higher than the expe

up or going down they bottomed out and now they're going to pop what if stanley drukenmiller and ray dalio billionaire hedge fund managers, who are saying stocks could do nothing for five years, what if they're right? >> yeah, the old adage rings true, right? it could be a stock picker's market but the reality is been in this game a long time as you have markets do go up, markets go down but the reality is as we sit here today we are vastly stretched to the down side you've mentioned the nasdaq and the tech, but if you look at small caps, for instance, they're trading at valuations we haven't seen in decades. so the reality is that any hint of good news in the other direction and i think we're going to see a tide shift considerably does that take us to new highs and ultimately advancement maybe not. but it might soften the year-end blow if we can sort of see a bounceback into the end of the year >> quint tatro, jewel financial. quint, always a pleasure to have you on watch that cpi thursday. it's going to be a big deal. thank you. >> thanks, sully >> meta revealing the details about its la

shery: ray dalio on a long-term investment pick your four china. -- picture for china. now we have manishi raychaudhuri , head of research at bnp paribas. is this to do with the covid zero policy? from the valuation side of things it would be a more attractive proposition and the likes of india? manishi: a downgrade to china in may and april was predicated on the covid zero policy having a disproportionate impact on economic domestic consumption and the properties sector problems is dragging on. on the first, we think there is light at the end of the tunnel after the party congress. we do expect archewell, a gradual slope reopening. the end of the policy meeting last year. we are keeping a close eye on the policy space in china and we think we are continuing the stance for now but there are important policy beneficiaries and consumption and reopening plays. this could potentially be even more interesting. shery: as we are seeing china reopen a little bit after the party congress we see the downside in global demand coming from the developing economies, especially with m

industry, the world's largest hedge fund, bridgewater announced just a short time ago that its founder, ray daliout ten years ago began sort of what they described sort of a transition has essentially completed that transition. he has handed over his voting rights to the board, and he's essentially stepped down from the firm, again, that he once controlled and obviously built into the world's largest hedge fund he had been a co-cio for some period of time he had stepped down as ceo some time back, but at this point now, particularly with the fact that he's transferred all of his voting rights to the board of directors and stepped down as one of his co-chief investment officers, he will continue as a cio mentor you see that right there and obviously -- not obviously, still be on the company's board of directors morgan, those kinds of transitions are very difficult particularly for a private firm, founder-led, oftentimes they go away when the founder goes away. the key is giving the keys to the next generation and they seem to have done that here. >> to your point, this has been a slow and orderly

later in the day, ray dalio of bridgewater, the chief investment officer. official at manage capital. if you are a bond vigilante, are you there yet? are you happy with what you are seeing? this interesting question of what is the trigger point where we start to realize this new reality as people begin to stay -- to say yea, we are getting yield again. >> yea, we are getting yield again. potentially. >> i am glad she is not here because we would make each other cry even more. >> you support the just and she supports the giants. >> i can live with that. [laughter] >> the giants came back and a very dramatic fashion. i'm very proud of this knowledge. >> around the table with muhamed and i for the next 10 minutes. thank you for coming in. let's talk about market functioning. have we got a market functioning problem? >> good morning to to both of you. a market functioning problem in the u.s., we have not seen when compared to what is happening in the u.k.. i will say that looking at eps and high ratings, we have seen a huge amount of volume in etf trading. ther

paul, just wondering we heard from ray dalio i think it was a week ago today that after years and years. it's an unusual call there could be dislocations. maybe that's a good reason for it when you have high inflation average investors trying to play along with that game could get burned what are your thoughts about cash and whether or not to thoeld. >> i think he's 100% right that's kind of the playbook we're in at this part of the cycle when central banks are aggressively trying to attack inflation globally, assume that go they follow through with what they said they're going to do which is, again, bring inflation back to a reasonable level you would unee give vocab -- unequivocally trust cash it's hard to take what you've learned about investing and put it behind you. you have to. the market changes, it's a completely different environment we're in right now when i think about the, quote, january effect that we're going to see next year and all the money that theoretically is going to come into the stock markets and bond markets, you know, all of a sudden 2-year rates are 4.3% or hig