Fun

JPMorgan CEO Jamie Dimon Warns Recession Could Hit in 6 Months, Stock Market Could Drop 20% More — ‘This Is Serious Stuff’

News Feed - 2022-10-11 08:10:07

JPMorgan CEO Jamie Dimon Warns Recession Could Hit in 6 Months, Stock Market Could Drop 20% More — "This Is Serious Stuff"


The CEO of global investment bank JPMorgan, Jamie Dimon, has warned that the U.S. economy could tip into recession in six to nine months. “This is serious stuff,” the executive stressed, adding that the stock market could easily fall another 20%. JPMorgan CEO Jamie Dimon’s Warnings


JPMorgan CEO Jamie Dimon shared his warnings about the U.S. economy and the stock market in an interview with CNBC Monday at the JPM Techstars conference in London.


Dimon cited a number of indicators that could push the U.S. economy into recession, including runaway inflation, interest rates rising more than expected, the effects of quantitative easing, and the Russia-Ukraine war. Stating that “Europe is already in recession,” the JPMorgan boss said: These are very, very serious things which I think are likely to push the U.S. and the world … in some kind of recession six to nine months from now.


The executive noted that the Federal Reserve is “clearly catching up” as inflation reached a 40-year high, emphasizing that the central bank “waited too long and did too little.” Dimon opined: “And, you know, from here, let’s all wish him [Fed’s chairman] success and keep our fingers crossed that they managed to slow down the economy enough so that whatever it is, is mild — and it is possible.”


Nonetheless, he believes that the U.S. economy is “actually still doing well,” adding that consumers are likely to be in better shape than during the 2008 global financial crisis. However, he cautioned: But you can’t talk about the economy without talking about stuff in the future — and this is serious stuff.


Responding to a question about how long the U.S. economy will likely be in recession, he admitted that he could not be certain, advising market participants to assess a range of outcomes. “It can go from very mild to quite hard and a lot will be reliant on what happens with this war. So, I think to guess is hard, be prepared,” the JPMorgan chief stated.


Dimon was also asked about the outlook for the S&P 500. He stressed that the markets will be volatile and the benchmark could fall further from current levels. “It may have a ways to go. It really depends on that soft-landing, hard-landing thing and since I don’t know the answer to that, it’s hard to answer … it could be another easy 20%,” the JPMorgan executive replied, elaborating: The next 20% would be much more painful than the first.


“Rates going up another 100 basis points will be a lot more painful than the first 100 because people aren’t used to it, and I think negative rates — when all is said and done — will have been a complete failure,” he concluded. At the time of writing, the S&P 500 has already dropped 25% year-to-date.


In June, Dimon warned that an economic hurricane was coming, advising people to brace themselves. In August, the JPMorgan boss doubled down on his warning, cautioning that “something worse” than a recession could be coming. Tags in this story Jamie Dimon, jpmorgan, JPMorgan Jamie Dimon, JPMorgan Jamie Dimon predictions, JPMorgan Jamie Dimon recession, JPMorgan Jamie Dimon stock market, JPMorgan Jamie Dimon warnings, Recession, stock market prediction, US economy, us recession, world recession


What do you think about the warnings by JPMorgan CEO Jamie Dimon? Let us know in the comments section below. Kevin Helms


A student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography. Canada"s Tiff Macklem Insists "Rate Increases Are Warranted," Canadian Columnist Says Central Bank"s Governor "Needs to Go" ECONOMICS | 2 hours ago Bank of England to Double Long-Dated Gilt Buy-Backs, QE Policy to See an "Orderly End" in Mid-October ECONOMICS | 7 hours ago


Image Credits: Shutterstock, Pixabay, Wiki Commons Previous articleCanada’s Tiff Macklem Insists ‘Rate Increases Are Warranted,’ Canadian Columnist Says Central Bank’s Governor ‘Needs to Go’ Disclaimer: This article is for informational purposes only. It is not a direct offer or solicitation of an offer to buy or sell, or a recommendation or endorsement of any products, services, or companies. Bitcoin.com does not provide investment, tax, legal, or accounting advice. Neither the company nor the author is responsible, directly or indirectly, for any damage or loss caused or alleged to be caused by or in connection with the use of or reliance on any content, goods or services mentioned in this article. Read disclaimerShow comments More Popular NewsIn Case You Missed ItRipple CEO: SEC Lawsuit Over XRP "Has Gone Exceedingly Well"


The CEO of Ripple Labs says that the lawsuit brought by the U.S. Securities and Exchange Commission (SEC) against him and his company over XRP "has gone exceedingly well." He stressed: "This case is important, not just for Ripple, it’s ... read more.Oman to Incorporate Real Estate Tokenization in Virtual Assets Regulatory Framework Today"s Top Ethereum and Bitcoin Mining Devices Continue to Rake in Profits Bill ‘On Digital Currency’ Caps Crypto Investments for Russians, Opens Door for Payments UAE Airliner Emirates to Launch NFTs and Experiences in the Metaverse

News Feed

Ethereum Historical Indicator Flashes Long-Term Buy Signal – Is History Repeating?
Este artículo también está disponible en español. Ethereum has been struggling below the $2,800 mark for days, unable to reclaim it as support to kickstart a recovery ral
Crypto hackers steal $750M in Q3 2024, as losses grow by 9.5% — CertiK
Ana Paula Pereira8 hours agoCrypto hackers steal $750M in Q3 2024, as losses grow by 9.5% — CertiKQ3 2024 saw a decline in the number of crypto hacks, but the value of assets stolen spiked, with $753 million lost acros
Grayscale fund drops ADA and ATOM after quarterly rebalancing
Zoltan Vardai8 minutes agoGrayscale fund drops ADA and ATOM after quarterly rebalancingThe proceeds from the sold tokens were used to buy existing portfolio components, according to Grayscale. Both ADA and ATOM are down
GNO City Play-to-Earn Game Created the Biggest and Most Diverse WAX Blockchain Game
GNO City Play-to-Earn Game Created the Biggest and Most Diverse WAX Blockchain Game sponsored GNO City features an already playable trading card game on the WAX blockchain. In GNO C
Deloitte Survey: 85% of Merchants Say Enabling Crypto Payments Is High Priority
Deloitte Survey: 85% of Merchants Say Enabling Crypto Payments Is High Priority A survey conducted by Deloitte in collaboration with PayPal found that over 85% of merchants “
Top Diamond Producer De Beers Deploys Blockchain-Based Platform at Scale
Top Diamond Producer De Beers Deploys Blockchain-Based Platform at Scale De Beers, one of the leading diamond-producing companies globally, recently announced the deployment of its
US Marshals likely selling Silk Road Bitcoin, says lawyer
Amaka Nwaokocha39 minutes agoUS Marshals likely selling Silk Road Bitcoin, says lawyerThe lawyer’s claims spark questions about market stability amid the potential sale of Silk Road Bitcoin by the US Marshals.348 Total
SD Governor Urges 20 States to Block Legislation That Bans Crypto’s Use as Money — Says ‘Its a Threat to Our Freedom’
SD Governor Urges 20 States to Block Legislation That Bans Crypto"s Use as Money — Says "Its a Threat to Our Freedom" South Dakota Governor Kristi Noem has vetoed a bill that ban
Crypto Bets on the US Election Show Joe Biden Winning the Presidency by 60%
Crypto Bets on the US Election Show Joe Biden Winning the Presidency by 60%During the first half of the year, betting portals that allow people to wager cryptocurrencies on the upco
Amaka Nwaokocha11 hours agoElon Musk’s X aims to revolutionize finance as a central hubElon Musk envisions X as an all-encompassing financial platform, embracing every aspect of users’ financial lives, from money and
Bitmain to Host Miners in 180-Megawatt Data Center in Kazakhstan
Bitmain to Host Miners in 180-Megawatt Data Center in Kazakhstan Crypto mining hardware manufacturer Bitmain has partnered with Enegix to host Antminer S19 Pro d
Hong Kong ETFs begin trading, issuers unfazed if US declares ETH a security
Martin Young6 hours agoHong Kong ETFs begin trading, issuers unfazed if US declares ETH a securityHong Kong already has a clear definition of Ethereum and it is not a security, said OSL Digital Securities head Wayne Huan