JPMorgan CEO Says That an “Economic Hurricane” Is on Its Way

Vignesh Karunanidhi
Source: The Financial Technology Report

JPMorgan CEO Jamie Dimon is warning investors against an upcoming “economic hurricane” lured by different challenges. Jamie mentioned that the hurricane would be triggered by a mixture of tight monetary policy and Russia’s Ukraine invasion. The Fed’s decision to shrink security holdings under the quantitative easing program is one of the main reasons cited by Dimon.

“That hurricane is right out there down the road coming our way.” “We don’t know if it’s a minor one or Superstorm Sandy. You better brace yourself.”

JPMorgan Chase & Co. chief executive officer said at a conference

JPMorgan CEO urges the investors to brace themselves

JPMorgan’s CEO urged investors to brace themselves for the upcoming turbulence. At JPMorgan’s investor day, Dimon spoke that the US economy is being loomed over by storm clouds.

“Right now it’s kind of sunny, things are doing fine, everyone thinks the Fed can handle it.”


Dimon has expressed grave fears about the battle between Russia and Ukraine’s long-term consequences. He described the savage invasion as a potential “disaster” for the world economy that could lead to a recession earlier this month.

Source: CNBC

JPMorgan had shrunk the growth forecast for the second half of 2022 from 3% to 2.4% and from 2.2% to 1.5% for the first half of 2023. The main reasons quoted by JPMorgan were the plummeting stock prices and higher mortgage rates.

“I kind of want to shed non-operating deposits again, which we can do in size, to protect ourselves so we can serve clients in bad times.” “That’s the environment we’re dealing with.”


The CEO’s comments come as the US struggles with decades-high inflation, a lingering COVID-19 pandemic that has disrupted supply chains, and further global economic restraints imposed by Russia’s invasion of Ukraine.

The Biden administration and the Federal Reserve have been chastised for not doing more to combat inflation sooner.