JPMorgan Chase (JPM) CEO Jamie Dimon Warns of ‘Market Complacency'
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Speaking to Ireland's Department of Foreign Affairs, Dimon, who leads the world's largest commercial bank, issued a downbeat outlook, saying there is 'complacency in the markets' and that investors have become a 'little desensitized' to tariff news.
He also warned that inflation could re-emerge as a significant problem in the U.S. and that there's a real risk of interest rates rising again. 'The market is pricing a 20% chance (of a rate hike), I would price in a 40-50% chance. I would put that as a cause for concern,' said Dimon.
Vulnerabilities
In June of this year, Dimon told a conference that the U.S. economy was vulnerable 'to a downturn in the coming months,' with a 'chance real numbers will deteriorate soon.' The comments from Dimon, who has led JPMorgan since 2006, come as U.S. President Donald Trump resurrects his tariff agenda.
In recent days, President Trump has threatened 50% duties on Brazilian imports, a 50% duty on copper, and 35% tariffs on Canada. While U.S. markets are down on July 11 over worries about Trump's tariffs, Wall Street indices are currently sitting near all-time highs as investors remain largely bullish on equities.
Dimon has repeatedly warned that tariffs will have an impact on the U.S. economy and markets in coming months and that investors and traders should proceed with caution. JPM stock has gained 21% this year.
Is JPM Stock a Buy?
The stock of JPMorgan Chase has a consensus Moderate Buy rating among 21 Wall Street analysts. That rating is based on 15 Buy, four Hold, and two Sell recommendations issued in the last three months. The average JPM price target of $295.10 implies 3.42% upside from current levels.
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