JPMorgan CEO, Jamie Dimon, remains careful About the volatility of the current market driven by geopolitical uncertainty, in particular around American tariff policy, despite recent trade agreements with the United Kingdom and China. Although it considers the United States as a strong long-term investment, Dimon warns that the risks of recession and inflationary pressures remain, and believes that continuous volatility is probably due to unresolved global problems and at potential prices specific to the sector.
President Trump’s intermediary agreements with China and the United Kingdom did not do much to convince Jamie Dimon that market volatility resulting from the White House pricing policy is over.
The CEO of JPMorgan warned that the uncertainty caused by Trump’s foreign policy is not good for businesses, but argued that prices are unlikely to be as inflationary as some criticisms fear it.
The man nicknamed the “ Knight of Wall Street ” added this week that even if it is positive that the Trump team has finally obtained its “ first mover ” in the government of Sir Keir Starmer Westminster, there is still room for discomfort.
While Dimon said that some customers had made money on the top and stockings of recent weeks, others had lost, adding: “I would expect volatility to continue”.
“I think it is a mistake to think that we can browse all the things we live in and volatility itself will become,” Dimon told Bloomberg in Paris on Thursday.
He added: “The markets are quite unpredictable. I think there is a lot of uncertainty that you cannot rule out: war in Ukraine, terrorism in the Middle East, Iran, enormous deficits, our tax bill – that I would like to see a good tax bill adopted – the prices, the reaction of (a) country to the prices.
“The EU and the United Kingdom are about to negotiate, I think they have a chance to develop an excellent relationship, partially offset the disaster that Brexit has become. So yes, these are uncertainties. You cannot eliminate them because you want.”
That said, the prospects are looking for somewhat graceful in the agreement signed with the United Kingdom, as well as the announcement of the Treasury Secretary Scott Besse this week that the United States and China had agreed to simultaneously reduce their tariff rates by 115% on each other.
“I am grateful to have made the US-UK agreement,” added Dimon. “This is an agreement in principle, so there is still a lot of uncertainty, and there is still a lot of uncertainty in the thing of China, but at least we have started. It obviously calms the markets.”
