Investing.com -- Billionaire investor Paul Tudor Jones has voiced concerns over the economic climate, describing it as "precariously perched from a macro standpoint" in the wake of a global trade war instigated by US President Donald Trump. Trump has recently imposed tariffs on some of America's closest trade allies.
According to Jones, the founder of Tudor Investment Corp., the current situation significantly differs from the beginning of Trump's first term in 2017. He expressed his concerns in an interview on CNBC this Monday, stating that the interconnectivity and potential for error in the current landscape is unprecedented. Jones emphasized that it would require a very skilled individual to maintain the current status of major economic assets amidst this situation.
Jones, now 70, highlighted that the conditions have drastically changed in three crucial sectors since Trump's initial presidency in 2017. These sectors include stocks, bonds, and foreign investment. He suggested that these markets are now on "much shakier ground."
In terms of stocks, Jones pointed out that the price-to-earnings ratios of companies have risen by 30% since January 2017. He warned that even if the stock market experienced a 30% correction, it would still be "slightly overvalued."
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