- Jamie Dimon, who has led JPMorgan Chase for nearly two decades, has written about the damaging impact of a war with Iran.
- In his opinion, the conflict will lead to higher oil prices, inflation and interest rates than the market expects.
JPMorgan Chase CEO Jamie Dimon считаетthat a war in Iran would lead to higher oil and commodity prices, which would keep inflation high and force the US Federal Reserve to raise interest rates.
He wrote about this in his annual letter to shareholders on Monday, April 6, thereby commenting on Donald Trump’s words. conduct the promised attack on Iran’s power plants and bridges if the country’s authorities do not open the Strait of Hormuz.
The 70-year-old manager, who has led JPMorgan, America’s largest bank, for more than two decades, added that “the challenges we all face are significant.”
The war in Iran further exposes us to the potential for significant oil and commodity price shocks and disruptions to global supply chains, which could lead to more persistent inflation and ultimately higher interest rates than markets currently expect.
Concerns about war-induced inflation have led markets to largely rule out interest rate cuts this year. In the past, monetary easing contributed to stock market record highs.
Last week, the S&P 500 (.SPX) completed the its worst quarter since 2022, under pressure from the war and the resulting surge in energy prices.
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At the same time, Dimon noted that the US economy continues to demonstrate resilience: consumers are earning money and spending it, although there has been some weakening in demand recently.
According to Dimon, the fiscal stimulus included in President Donald Trump’s “Big, Beautiful Bill,” deregulatory policies, and capital spending related to artificial intelligence will provide additional positive stimulus to the economy.
At the same time, he spoke out against revised capital rules proposed by US banking regulators last month, calling some of them “meaningless”.
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