Bridgewater warns of peak US profit margins, lower stock prices

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Bridgewater warns of peak US profit margins, lower stock prices
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The major drivers of high U.S. corporate profit margins are unsustainable and 'now under threat', which will eventually result in much lower equity prices, Bridgewater Associates, the world's largest hedge fund, said on Wednesday in a report.

The major drivers of high U.S. corporate profit margins are unsustainable and"now under threat", which will eventually result in much lower equity prices, Bridgewater Associates, the world's largest hedge fund, said on Wednesday in a report.

Over the last few decades, almost every major driver of profit margins has improved, Bridgewater said. At the same time, popular sentiment has begun to turn against the forces driving corporate profits, as well as against the companies that have benefited most, Bridgewater said.

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