Posted 1/10/2024, 6:59:00 AM
JPMorgan's Dimon Warns of 1970s-Style Stagflation; Sees Recession Risk Despite Cooling Inflation
- Dimon sees similarities between 2024 economy and 1970s high inflation, stagnant growth
- Cites large fiscal deficits, changing trade flows, big government spending as inflationary
- Contrasts with optimism about a soft landing after inflation cooled in 2022
- Skeptical about a "Goldilocks" soft landing scenario
- Warns recession may still happen as Fed rate hikes take time to impact economy