JPMorgans Dimon sees extraordinary amount of complacency as markets recover.jpeg
Jimmy Damon, CEO of JPMorgan Chase (JPM) warned that he sees “an extraordinary amount of self -consent” in the market after investors retreated from their losses “Tahrir’s Day”, focusing on the fact that the risk of high inflation and even stagnation is still higher than people believe.
“The market decreased by 10 %, 10 % reserves,” he said. “I think this is an extraordinary amount of self -consent.”
The head of the country’s largest bank discussed everything from president Trump’s tariff and the state of the American economy to the future of the banking industry and his ideas on encryption during the annual investor event at JPMorgan in Manhattan.
In one topic Dimon did not provide a strong answer: when he plans to retire as an executive president.
When he was asked why he will not remain another contract, investors have remembered that he was planning to stay as an executive chairman of the JPMorgan Board of Directors for a period after step down from his executive role.
“It is clear that it is up to the council. If you are here for another four years and perhaps two others, three as an executive president, this is a long time. This is like a lot of the current value of the world.”
Jpmorgan Chase CEO Jimmy Damon, on “Al -Sabah with Maria” with Maria Barteromo in the Fox Business Network on April 9 (Galay/Getty Emachin sleep photography ·Naoum Gallai via Getti Imas
The 69 -year -old indicated that his time as president of JPMorgan was ending at the investor day event last year, when he admitted that he would have been able to leave his role in “less than five years.” Last January, he said that his “basis issue” was to stay for another few years.
When an analyst pressed him in a more specific time schedule, he said, “The intention is the same as we said last year.”
His comments were more directed when discussing the topics of macroeconomics. Damon has argued that the complete impact of the definitions of the Trump administration was not yet clear, and that even at its current levels, the duties are “very extreme”.
President Trump has stopped many of the highest duties on countries worldwide, including China, where his team negotiates commercial deals, but there is still a 10 % mutual tariff in all fields, as well as duties for certain industries.
Read more: Latest news and updates on Trump’s tariff
He said that trade has created a lot of risks, noting that the opportunity to inflation and stagnation is higher than people believe. He added that the chances of stagnation – which indicate the recession with high inflation – “may be twice” what the market expects.
Geopolitical risks are also a source of anxiety. “It is very high. How to run over the next few years, we don’t know.”
He was not the only large bank president who made new warnings on Monday about the upcoming effects of definitions.
“Inclusion remains,” said Jin Fraser, CEO of Citigroup (C).
She added: “Companies stop decisions, delay Capex and stop employment. Many are preparing for second and third degree effects, from demand shocks to uncertainty in suppliers.”
“We are entering a new stage of globalization-which is one less specific in cooperation, and more through the strategic self-interest. Long assumptions are challenged, not only by customs tariff advertisements but by a deeper shock of confidence. The short-term shock is already rewritten, and the two tracks are reformulated in the long term in real time.”
File image: Jin Fraser, CEO, City, speaks at the 2023 Milkin Institute conference in Beverly Hills, California, United States, May 1, 2023. Reuters/Mike Blake/Image File ·Reuters / Reuters
Jpmorgan has provided one sign that things may slow down for some customers in the current quarter.
Investors told that in the second quarter, it is expected that the weakest of investment banking services “in the middle of adolescence or minus” compared to the second quarter of last year, according to CO-CEO for the TROY ROHRBAGHE commercial and investment bank. Investment bankers rely on companies that make deals on their revenues.
Rohrbau added that trading revenues are “high individual numbers”.
The bank kept its expectations throughout the entire year of its decisive revenues, net interest revenues. 90 billion dollars are still expected, in addition to an additional $ 4.5 billion of trading, depending on market conditions.
“The expectations may be a little better than they were in the profits of the first quarter.” Financial Director Jeremy Barnum said earlier in the day.
Damon also took a time on Monday for the railway on many of the banks ’bases laid down by Washington, saying,” Many of these accounts, as I mentioned before, are ASININE completely. “
The open question about the one who would lead Jpmorgan after Dimon, who has played the role since 2006, has been for years of great guessing games in Wall Street. It is also the “largest risk factor in the Senior of JPMORGAN, Ibrahim Ponawalla, Bank of America, wrote last week.
Investors have also had an opportunity to hear from the Dimon Senior Lieutenant, many of which are most likely to leave it one day.
“Our northern star is born alpha,” said Marie Ardouz, head of the Assets and Resources Department. “This is all we do. Throughout the day. We enjoy every basis point.”
The bank also increased its technological spending by $ 1 billion from last year to 18 billion dollars.
“We are a growth privilege, and we are gaining a large scale stake through companies. We are not a great clumsy, but we are proud of this performance,” said Marianne Lake, CEO of the PPMorgan Consumer Bank.
With the exception of the home lending department, Lake said that its division from the bank expects a 10 % decrease in the number of employees over the next four and a half in light of the productivity improvements from artificial intelligence and other technology.
David Hollerith is a great correspondent for Yahoo financing that covers banking, encryption services and other areas of financing.
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