JPMorgan CEO Jamie Dimon has shared his predictions for the US economy, including a chance of “something worse” than a recession. “There are storm clouds,” the executive said, citing interest rates, QT, oil, Ukraine, war and China.
JPMorgan Chief Jamie Dimon’s Economic Forecasts
JPMorgan’s chairman and chief executive officer, Jamie Dimon, reportedly shared his predictions about where the US economy is headed during a customer visit last week, Yahoo Finance reported Saturday.
While noting that the US economy is strong, with consumer and business balance sheets in good shape, the director emphasized that “you have to think differently” when forecasting. The JPMorgan chief described: “What’s out there? There are storm clouds. Tariffs, QT, oil, Ukraine, war, China.”
Dimon shared: “If I had to give chances: soft landing 10%. Harder landing, mild recession, 20%, 30%.” He added:
Harder recession, 20%, 30%. And maybe something worse at 20% to 30%.
“It’s a big mistake to say ‘here’s my only point prediction’,” he clarified.
His predictions matched what he said in June when he warned that an economic hurricane “is coming our way.” He advised investors to brace themselves.
While Dimon sees the possibility of something worse than a recession, during a recent visit to JPMorgan Chase’s Olneyville bank branch, he emphasized, “Whatever the future holds, JPMorgan is prepared.”
Several analysts have predicted that the US economy could slip into recession this year. Michael Gapen, head of U.S. economics at the Bank of America, told Fox Business Monday that there is a high probability of a mild recession this year. He expects the Federal Reserve to inadvertently cause a downturn with its war on inflation. “This cycle will probably end in a mild downturn… How do I get that? It’s really just history. It’s really hard to make a soft landing,” the analyst said.
Goldman Sachs economist David Mericle wrote in a client note on Sunday: “Our overall conclusion is that there is an achievable but difficult path to a soft landing, although several factors beyond the Fed’s control can facilitate or complicate that path and increase or decrease chances. of success.”
What do you think of JPMorgan CEO Jamie Dimon’s economic forecasts? Let us know in the comments below.
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