Jamie Dimon: A 'Storm is Brewing' in the US Economy

In a recent interview with the Wall Street Journal, billionaire CEO of JP Morgan, Jamie Dimon shared his thoughts on the economy, stock market, interest rates, inflation, and the potential for an economic hard landing. Billionaire Jamie Dimon is warning that some serious storm clouds are forming in the US economy. If you're looking to safeguard your financial future, understanding what Dimon sees could mean the difference between staying afloat or sinking. There is a narrative forming in the Media and elsewhere that America has officially pulled off the elusive so-called economic “soft landing”. Successfully raising interest rates to tame inflation without plunging the economy into a deep, dark recession. But not so fast, says Jamie Dimon. Dimon’s seat as CEO of JP Morgan Chase, the largest bank in the United States, gives him a truly unparalleled look into the economy. And unfortunately, Dimon is worried about what he is seeing.

On many major metrics, the US Economy is incredibly strong. Gross Domestic Product, or GDP for short, is a measure of the size and health of the economy. As you can see here, GDP continues to grow at a healthy and steady rate. Additionally, the unemployment rate is just 3.9%, well below the long term average of closer to 6%. Household wealth is at an all time high as the stock market and home values continue to soar. All of these numbers would seemingly point to a strong and vibrant economy. However, if you ask average, everyday Americans, most of them would tell quite a different story. As shown in this chart, US consumer confidence is hovering around its lowest levels in over a decade. What the economic data is showing and how many US consumers are feeling doesn't seem to match up.

[jeromesand]

The current market/economy is unnecessarily tougher for boomers/senior citizens, I’m used to just buying and holding assets which doesn’t seem applicable to the current rollercoaster market plus inflation is catching up with my portfolio. I’m really worried about survival after retirement.

[rayfellers]

In less than 3 minutes of this interview it's clear that Jamie Dimon and I live in two very different worlds.

[johnr]

The same guy charging the American public 28% interest rates on credit cards. He cares about you …

[chi-jenyang]

The economy is very strong, even though home foreclosure is at recrod high level. Car repossesion also hit new high. So is credit card debt. Large corporations are laying off massively. Start-ups are going out of business. Stores are shutting down. Homeless encampments are spreading in major cities. As long as you are willing ignore all the negative signs, you will see the economy is good.

[FairGosling]

I foresee a recession lasting 2-3 years, and if inflation continues to Surge, the Federal Reserve will likely raise interest rates soon. Inflation is causing various issues worldwide, such as food shortages, scarcity of diesel and heating fuel and significant spikes in housing prices leading to a potential financial market crash. This global downturn could have long-lasting repercussions. Given the current inflation rate of approximately 9%, my main worry is how to optimize my savings and retirement fund which has remained stagnant at around $300k yielding almost no gains for quite some time.

[parambler]

Jamie Dimon doesn't care about you

[JackKen]

Great video! I really do have a quick question. For someone with less than $10, 000 to invest, How would you recommend we enter the market? I am looking study some traders and copy their strategy rather than investing myself and losing money emotionally. Whats your take on this approach?

[marc]

People stop paying all credit card debt and start collecting cash to live on when bread hits 20 a loaf

[rjl]

After 3 minutes, I see that Jamie is totally disconnected with the 'consumer' and this 4% unemployment. Stopped watching at 3.59".

[minpat]

if this guy says that the consumers are strong and the spending is strong why is MCdonalds, Walmart and other retailers reducing staff. He is lying and the market is about to crash and he needs people in the market so he can sell

[actionjack]

WTF? He said EVERYTHING IS FINE AND PEOPLE ARE DOING GREAT.

[justbeingcandace]

People still have money from This guy is high.

[catdaddy]

The consumers are doing fine? What the hell is he talking about?
Oh yeah, billionaires who got us all into this mess are doing fine

[liberty-matrix]

"I don't think they're voting for Trump because of his family values. If you just take a step back and be honest, he was kind of right about NATO, kind of right about immigration. He grew the economy quite well, tax reform worked and he was right about China." ~Jamie Dimon, 01/2024

[geraldmcgerald]

What about Bankruptcies and store closings?

[vladimirofsvalbard]

The US economy has never had a soft landing in it's entire history under the Federal Reserve.

Once they cut interest rates; you have 3-6 months before something breaks. This is because everyone is busy refinancing old debts with new ones, while losing cash flow and driving up inflation further with a new demand spike. The demand flow breaks the back of the working class and suddenly the weight of everything implodes.

If they cut interest rates even 25pts in August/September; the market will crash by March.

[nickolaspitts]

FYI … this guy is known to lie through his teeth … saying he hates bitcoin and how worthless it is while his company is actually buying or holding it …

[escalade]

There was a lot explained that may go over heads. Simply put, it is not business as usual. The country is at a Point of No Return. Inflation has not come down! That's completely false!

[ainaa]

Love how all C-suite people don’t like to talk about the huge gap between wage increase and corporate profit.

[SBK_Sound]

This the most sugar-coated way you could possibly ever state the current situation... Unemployment... no one knows the true % bc the rate is calculated in a way that minimizes the number, and funds from COVID have been spent Long ago for most people. The shareholder letter is a lot closer to the truth and it also dire in it's pessimism.