Fund manager Dalio says Fed pivot means he’s less worried about recession

Ray Dalio, billionaire and founder of Bridgewater Associates LP, gestures as he speaks during a panel session on the opening day of the World Economic Forum (WEF) in Davos, Switzerland, on Tuesday, Jan. 22, 2019. World leaders, influential executives, bankers and policy makers attend the 49th annual meeting of the World Economic Forum in Davos from Jan. 22 - 25. Photographer: Jason Alden/Bloomberg

LOS ANGELES: Bridgewater Associates founder Ray Dalio says there’s less chance of a US recession now that the economy has begun to cool and the Federal Reserve appears less inclined to hit the brakes on growth.

“Because the markets weakened and Fed officials now see that the economy and inflation are weak, there has been a shift to an easier stance,” Dalio, head of the largest US hedge fund firm, wrote in a LinkedIn note. “I have lowered my odds of a US recession coming prior to the US presidential election to about 35%.”