During a portion of an interview with CNBC released on Monday, JPMorgan Chase CEO Jamie Dimon stated that he believes that the U.S. is “likely” to enter a recession “six, nine months from now.”
Dimon said, “I think you’ve got to put two things in mind here. Currently, right now, the U.S. economy’s actually still doing well. Consumers have money, fiscal stimulus, they still have more than they had before. They’re spending 10% more than last year, 35% more than pre-COVID, their balance sheets are in great shape. Yes, debt’s gone up a little bit, but not nearly at the pre-COVID levels. And therefore, even if we go into a recession, they’re going to be in much better shape than ’08 and ’09. Companies are in good shape. Credit’s very good. Markets are still open, though rocky and stuff like that. But you’ve got to — you can’t talk about the economy without talking about the stuff in the future, and this is serious stuff, okay. This is inflation, which, obviously, is changing the effect of those numbers that I just told you about, it’s rates going up more than people expected already and probably a little bit more from here, it’s QT, which we’ve never had before. So, therefore, the unknown effects, and you see it today in bond markets around the world and sovereign markets and people selling you a Treasury debt, and it’s the war. And these are very, very serious things which I think are likely to push the U.S. and the world — I mean, Europe is already in a recession — and then they’re likely to put the U.S. into some kind of a recession six, nine months from now.”
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