Click to view a price quote on TSLA. : Inflation is raging, and hedge fund titan Seth Klarman, chief executive of Baupost, says it has reached a dangerous level for financial markets. “We don’t know how bad the current bout of inflation will be, but we believe that mounting inflation and the related possibility of materially higher interest rates are posing a real danger to financial markets,” Klarman wrote in a letter to investors obtained by CNBC.