JPMorgan Chase CEO Jamie Dimon Flags Recession Warns Donald Trump’s tariffs: “Odds at 50%”
JPMorgan Chase & Co., CEO Jamie Dimon issued another recession warning on Friday, attributed it to Donald Trump’s tariff move.
According to a Reuters report, JPMorgan Chase CEO said the chances of a recession in the United States are 50%.
Announced first-quarter results for investment banking companies, Jamie Dimon remains aligned with the economy as Corporate America contributes to the impact of President Donald Trump’s tariffs. Over the past week, Trump’s tariffs have increased the risk of inflation and concerns about recession.
“Customers are becoming increasingly cautious due to increased market volatility driven by geopolitical and trade-related tensions.
A “possible result” of the recession: Jamie Dimon
Earlier, JPMorgan Chase CEO also introduced his recession concerns to Fox Business.
“I only hear it from everyone now, ‘I’m going to cut it down a little bit, I’m going to wait and see what happens.” It’s a recession speech,” he said in an interview.
When asked about his personal opinion on the matter, Dimon said the recession was a “possible result.”
“Currently, I’m going to delay my economist, but I think that’s probably a possible outcome of (recession)” he said.
Letter from Jamie Dimon to shareholders
Earlier this week, Jamie Dimon warned of the U.S. recession in a letter to shareholders.
“Recent tariffs could increase inflation and cause many to consider a greater possibility of a recession,” he said.
The CEO also marked that economic turmoil has been around due to these factors.
“The economy is facing considerable turmoil (including geopolitics), potential enthusiasm for tax reform and deregulation and potential negative effects of tariffs and the “trade war”, persistent sticky inflation, high financial deficiencies and asset prices and volatility remain high,” he said.
He further warned of the short-term impact of the tariffs announced by Donald Trump.
“As for the short term, as input costs rise and demand for domestic products increases, we may see inflation results, not only imported goods, but domestic prices. The role of this on different products will depend in part on their alternativeness and price elasticity.”
“The economy is facing considerable turmoil (including geopolitics), potential enthusiasm for tax reform and deregulation and potential negative effects of tariffs and the “trade war”, persistent sticky inflation, high financial deficiencies and asset prices and volatility remain high,” he said.
He further warned of the short-term impact of the tariffs announced by Donald Trump.
“As for the short term, as input costs rise and demand for domestic products increases, we may see inflation results, not only imported goods, but domestic prices. The role of this on different products will depend in part on their alternativeness and price elasticity.”
Donald Trump announced steep mutual tariffs for dozens of countries last week, but paused many on Wednesday. Global markets have seen severe bloody shrubs since the tariffs were first announced, but mostly recovered with the announcement of a pause.
