This means that the Fed might keep on hiking rates this year and short-term bond yields will rise alongside. Volatility may become the name of the game thanks to a host of factors ranging from sticky inflation in the United States and other parts of the developed world, fears of a slowdown in China and the resultant pressure on global growth, and geopolitical issues. Dalio says the biggest mistake that most investors make is “believing that markets that performed well are good investments, rather than more expensive,” as quoted on a CNBC article.