Dimon warns of recession, expects defaults as trade war worsens

• The comments come amid a historic plunge in the bond market, part of what some strategists are calling a "sell America" trade.

Catch up quick: Dimon, in an interview with Fox Business's Maria Bartiromo, said he personally felt recession was a "likely outcome."

• "Markets aren't always right, but sometimes they are right, and I think this time they are right, because they're just pricing in uncertainty at the macro level and uncertainty at the micro level, at the actual company level," Dimon said.
• He also said he expected CEOs to start cutting back and pulling in expenses.

Zoom out: Dimon's comments follow those earlier this week from Wall Street peer Larry Fink, the CEO of BlackRock, who said the economy was weakening, and that most CEOs would say there was already a recession.

The intrigue: While Dimon was making his comments on TV, Treasury Secretary Scott Bessent was addressing a gathering of bankers, insisting the economy was in "pretty good shape" despite current market conditions.

Editor's note: This is breaking news. Check back for updates.