JPMorgan's Dimon Says Be Prepared for Higher Rates

"Everyone should be prepared for rates going higher from here," JPMorgan Chair and CEO Jamie Dimon says during JPMorgan Investor Day.

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[illegalsmirf]

Be prepared to lose your job and your home. Great Reset

[randomdude]

If rates were to go to 7%, I'd lock in the 10-year Treasury bond at the 6ish% yield and forget about investing for the next decade.

[dvarona]

I ❤ Jamie Dimon. Finally, common sense spoken out loud.

[slovokia]

The question is what would it take for the Fed to restart aggressive QE? In principle if the Fed thinks long term interest rates are too high, they can just start buying bonds all over again. At some point the Fed may prioritize keeping the Treasuries funding costs low as opposed to getting inflation to 2%.

[amdave]

What will happen is the public will accept 3% long term inflation for a while so the Fed won't have to sink the economy. 3% inflation is the norm in many parts of the developed world.

[madmoe]

He's not saying it'll go there he's saying banks should be diversified and be prepared for every scenario.

[mikev]

Is this an old recording? Fed rate is already at 5.25% while Dimon talks about it going up from 3%?

[erbterb]

What loans are not made? Margin debt for stock speculation seems to do an Archegos part deux, while perhaps CRe is not. Net down, but wild pockets of large loan growth. Remember that stock speculation was wild 1986-1989 even though rates were at 16 percent.

[hrviumhrvarium]

we are going to 10%. it has started to sink in.

[goneviral]

If they truly wanna fight inflation l, rates need to at 8-10%

[StephenDix]

"I would be prepared for high rates if I were someone (who pays interest rates)"

[joelzinho]

Well that's not a very good thing to say. Rates at 7% would mean another 10 to 20% drawdown in S&P500.

[matthtang]

JPM wants 5-7% long term rates. There’s one problem and that’s called the budget. Even at 5% for the 10/30 year over an extended period, our budget goes upside down real fast with steady growth. The second problem is that no one wants to borrow at current rates.

[Rainy_Day]

The fed can control longterm rates through managing its inventory…it owns $5 trillion in treasuries and a another trillion or so in mortgages.

[dmtefft]

It seems safe to assume the Fed Resv will have to sell off assets faster with/without a DC deal

[mikev]

If he says credit is already tightening, why would more rate hikes make sense?

[goof]

gimme some 10 years at 7. I need a home made pension as I am self employed.

[MaxMustermann-yjwz]

With 7% were have the us default talk every year 😂

[cainejackson]

Be prepared for PM manipulation to right?

[AH-fmrj]

10 years at 7%? This means mortgages will go up to 10%. You mean the mortgage rate for 1M$ house will be 8.3k$. Pluse utility and tax this will be 10k$ per month 🤣🤣🤣