Black Friday is Now! Don’t miss out on up to 60% OFF InvestingProCLAIM SALE

JPMorgan's Dimon says he can't rule out hard landing for U.S. economy - CNBC

Published 05/23/2024, 06:11 AM
© Reuters.

Investing.com -- The prospect of the U.S. economy slipping into a "hard landing" cannot be ruled out, according to JPMorgan Chase (NYSE:JPM) Chief Executive Jamie Dimon.

In an interview with business news channel CNBC, Dimon argued that "anyone who reads history" cannot discard the possibility of this scenario, which would see the U.S. dip into an economic downturn following a period of recent growth.

Dimon told CNBC that the worst outcome for the world's biggest economy would be "stagflation," in which inflation remains sticky while growth slows and unemployment is high.

However, he said that currently the U.S. consumer is still in "good shape" to weather the impact of a possible slowdown.

The comments come after Dimon warned at an event in New York earlier this week that he was "cautiously pessimistic" about the broader economic outlook due to stubborn price pressures and geopolitical tensions.

Minutes from the Federal Reserve's latest meeting released on Wednesday showed policymakers at the central bank believe elevated inflation will only ease slowly back down to their 2% target.

Although recent figures have hinted at a cooldown in inflation, several Fed officials have said they would still like to see more evidence that the decline is sustainable before rolling out any potential upcoming interest rate cuts.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.