Posted 1/10/2024, 6:02:00 PM
Dimon Warns End of COVID Aid and Ballooning Deficit Could Boil Economy
- JPMorgan CEO Jamie Dimon is skeptical of a "Goldilocks" economy, citing ending COVID aid and a huge federal deficit as threats
- Government COVID relief programs are expiring, reducing consumer spending power
- The federal deficit has ballooned to over $34 trillion, sparking concerns about its impact on markets
- JPMorgan predicts a "boiling frog" scenario where lack of action on the debt leads to dire economic consequences
- The path of inflation and interest rates will determine if/when the Fed starts cutting rates, impacting recession outlook