JPMorgan CEO Dimon Warns Recession Likely Amid Trade War

JPMorgan Chase CEO Jamie Dimon warned that the sweeping tariffs imposed by President Trump are likely to lead to a recession and an increase in corporate defaults. In interviews, he noted that rising rates and persistent inflation are contributing to credit problems, urging for swift trade negotiations to stabilize the markets. Dimon's comments reflect a growing consensus among economists and business leaders, with Goldman Sachs increasing their recession odds to 45% and JPMorgan economists predicting a 60% chance of recession due to the impacts of Trump's tariffs. Former Treasury Secretary Lawrence Summers also indicated that a recession could result in millions of additional unemployed Americans and significant declines in household income. Dimon's remarks underscore heightened concerns about the long-term effects of the trade war, which have caused significant market volatility. As these economic pressures mount, there is increasing pressure on the Trump administration to reconsider its trade strategy.