1 year ago
JPMorgan Chase CEO Jamie Dimon has warned of 2 “extraordinary” things happening contiguous that whitethorn person “bad outcomes” for the U.S. economy. Moreover, the enforcement has urged investors and businesses to beryllium prepared for higher involvement rates. “I don’t deliberation ostentation volition support going down,” helium noted, adding that successful the worst-case scenario, you volition spot “a batch of radical struggling.”
Jamie Dimon’s Storm Clouds
JPMorgan Chase CEO Jamie Dimon shared his economical outlook successful an interrogation with Bloomberg earlier this week. Regarding the broader U.S. economy, helium said:
There are 2 things which are bonzer today, which whitethorn person antithetic outcomes — deliberation of them arsenic tempest clouds.
“We don’t cognize if they are going to hit, erstwhile they are going to hit, what they are going to do, truthful I’m not predicting that,” helium added. The JPMorgan enforcement began talking astir tempest clouds hovering implicit the U.S. system past year. At the time, helium cautioned that it could really beryllium a hurricane. However, earlier this year, helium clarified that helium shouldn’t person utilized the connection “hurricane.”
Nonetheless, the JPMorgan CEO shared with Bloomberg Monday: “But I’ll archer you what I interest about. One is the fiscal wealth being spent is truthful big, the largest successful peacetime ever — America and benignant of astir the satellite — with precise precocious deficits and QT we’ve ne'er had.” He continued. “I don’t deliberation ostentation volition support going down. It whitethorn not. Therefore, rates whitethorn spell higher.”
Dimon stressed: “The biggest tempest unreality is geopolitical. It’s Ukraine, the humanitarian crisis. It is simply a warfare not acold from present … 500,000 radical person been killed. It is atomic blackmail. It’s going to impact each planetary relationships successful America and China, commercialized alliances.”
The JPMorgan brag added: “We don’t cognize the effect of these things. The economy, we whitethorn person a brushed landing, we whitethorn person a mild recession, we whitethorn person a harder recession. Obviously, determination are imaginable atrocious outcomes.”
Reiterating his caller informing that the Federal Reserve could raise involvement rates to 7%, Dimon emphasized: “Be prepared for higher rates and dilatory maturation … The worst [outcome] economically would beryllium stagflation.” He cautioned:
Obviously, if that happens, you’re going to spot a batch of radical struggling.
What bash you deliberation astir the warnings by JPMorgan Chase CEO Jamie Dimon? Let america cognize successful the comments conception below.
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