Dimon Warns Soft Landing Unlikely, Sees High Recession Risk from Savings Decline, Rates, War
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JPMorgan Chase CEO Jamie Dimon is skeptical of the "Goldilocks" soft landing scenario for the U.S. economy that markets expect. He thinks recession risks are high.
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Inflation has fallen from 40-year highs without triggering a recession so far, leading some to forecast a soft landing.
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However, Dimon sees factors like declining pandemic savings, high rates, Fed quantitative tightening, and geopolitical issues with Ukraine/Middle East as recession risks.
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Dimon says these issues could "very well push us into recession" instead of the expected soft landing.
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He mentions the possibilities of a mild or heavy recession, though markets currently see continued resilience.