He said CEO of JPMorgan Chase & Co., Jamie Dimon“Dangerous” headwinds could push the US and global economy into recession by the middle of next year.
Damon added, in an interview with CNBC, that there are very dangerous things that are likely to push the United States and the world into recession in 6 to 9 months from now, noting that Europe is already in a recession, according to what I have seen. Al Arabiya.net”.
The CEO of America’s largest bank explained that while the US economy is doing well at the moment, there are a number of global indicators and issues that ring the alarm bell, including the impact of higher inflation and higher interest rates than expected and the impact of the Federal Reserve’s decisions that ended easing. Quantitative, as well as the Russian-Ukrainian war.
Dimon believes that the possibilities are many, and the place that will see the emergence of a major rift, and perhaps more panic, may be the credit markets, or an ETF, it may be a country, it may be something unlikely that you don’t doubt.
“If I made a list of all the previous crises, we wouldn’t predict here where they came from, although I think you can predict this time the probability of that happening,” he said.
“If you need the money, try to raise it now,” Damon advised.
He expected the S&P 500 index to easily decline from its current levels, pointing out that this decline may be about 20%. Indeed, the index has fallen by about 25% this year.
“The next 20% is going to be a lot more painful than the first,” Dimon said, adding that “another 100 basis points hike in interest rates is much more painful than the first 100 because people are not used to that.”