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JPMorgan Predicts 65% Chance for a Potential Global Recession

Published 12/03/2024, 07:07
Updated 12/03/2024, 07:15
JPMorgan Predicts 65% Chance for a Potential Global Recession
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  • The U.S. Federal Reserve has decided to cut its interest rates in June as a majority of economists advocated for it.
  • JPMorgan CEO Jamie Dimon urges the Fed to wait past June to provide more time for the central bank.
  • Dimon predicted a 65% chance for a global recession while he kept silent about the possibility of an impending stagflation.

A recent Reuters report announced that the U.S. Federal Reserve has decided to cut its interest rate in June, with a majority of economists advocating for it. The decision is based on the central bank’s insistence on waiting longer for more data to confirm whether inflation is heading towards its target of 2%.

Meanwhile, JPMorgan CEO Jamie Dimon recommended the Fed wait past June to provide adequate time for the central bank to secure its inflation-fighting credibility. Adding that he would have waited if he were in their position, Dimon stated,

“I think they have to be data-dependent… You can always cut it quickly and dramatically. Their credibility is a little bit at stake here. I would even wait past June and let it all sort it out.”

Commenting on the current situation of the global market, he predicted a 65% probability of an impending recession. However, he kept silent about the possibility of stagflation.

Further, Dimon reinforced his anti-Bitcoin stance, pointing out the alleged illegal use of the cryptocurrency. He asserted that Bitcoin’s practical uses included illegal and immoral activities like sex trafficking, fraud, and terrorism. He added,

“I don’t know what the Bitcoin itself is for, but I defend your right to smoke a cigarette, I’ll defend your right to buy a Bitcoin. I won’t personally ever buy a Bitcoin.”

Dimon has long been a Bitcoin critic. In a previous interview, he advised the public to not get “involved” in Bitcoin accumulation and trading, comparing Bitcoin to a futile “Pet Rock.”

The post JPMorgan Predicts 65% Chance for a Potential Global Recession appeared first on Coin Edition.

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