Jun 1, 2022 - Economy & Business

JPMorgan CEO warns of economic "hurricane"

Jamie Dimon
Jamie Dimon. Photo: Chris Ratcliffe/Bloomberg via Getty Images

JPMorgan Chase chairman and CEO Jamie Dimon told investors Wednesday to brace for an economic "hurricane," pointing to the Fed and Russia's invasion of Ukraine.

Driving the news: "You know, I said there's storm clouds, but I'm going to change it ... it's a hurricane," Dimon said at a financial conference.

  • "That hurricane is right out there down the road coming our way," he added. "We just don't know if it's a minor one or Superstorm Sandy. You have to brace yourself."

Flashback: The banker said on a conference call in April that the U.S. was facing "storm clouds on the horizon."

  • "I hope those things disappear and go away, we have a soft landing and the war is resolved," he told analysts at the time. "I just wouldn't bet on all of that."

The big picture: Dimon cited two main factors while speaking at the Strategic Decisions Conference in New York:

  • The Fed's decision to shrink its holdings of securities acquired under its quantitative easing program by up to $95 billion a month.
  • Russia's invasion of Ukraine and its impact on the global economy. Dimon said in his annual letter to JPMorgan's shareholders that the "war in Ukraine and the sanctions on Russia, at a minimum, will slow the global economy — and it could easily get worse."
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