Leading investment bank JP Morgan has issued a major financial warning that could affect the US economy this year. The CEO Jamie Dimon told investors on Monday that he believes the US economy will be affected by forces from outside of America. The JP Morgan CEO explained that he worries about geopolitical events including the Russia-Ukraine war, the Israel-Palestine conflict, and the BRICS de-dollarization agenda to create an economic risk on the US markets.
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Read here to know how many sectors in the US will be affected if BRICS ditches the dollar for trade. “These significant and somewhat unprecedented forces cause us to remain cautious,” said JP Morgan CEO Dimon.
BRICS: JP Morgan CEO Warns About the US Financial Markets
Dimon stressed that America’s global leadership is being challenged by developing countries including the SCO bloc, ASEAN group, and BRICS. The CEO of JP Morgan said that while BRICS and other countries are looking to uproot the US dollar, the polarized electorate in America is causing further division. He called the development a “great crisis” that threatens free Western enterprises.
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The comments from Dimon were made in the Annual Shareholder Letter this year. “America’s global leadership role is being challenged outside by other nations and inside by our polarized electorate,” he said. The JP Morgan head hinted that BRICS will not be the only alliance that kick-starts the de-dollarization agenda. He urged that the US must put aside all differences and work closely with developing countries.
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“We need to find ways to put aside our differences and work in partnership with other Western nations in the name of democracy. During this time of great crises, uniting to protect our essential freedoms, including free enterprise, is paramount.” he wrote. In conclusion, JP Morgan is taking the BRICS de-dollarization agenda seriously and warns that it could affect the US markets.