Jamie Dimon, Chief Executive Officer (CEO) of JPMorgan Chase, warned on the 19th (local time) that the current financial market is exhibiting an excessively complacent attitude toward tariff and geopolitical risks.
Dimon noted concerns about the current situation at an investor event hosted by JPMorgan in New York, stating, "Those who have not experienced a major economic recession are overlooking the potential events that can occur in the credit market."
He particularly pointed out that the market's reaction to the tariff is excessively optimistic. "People feel fine because the impact of the tariff has not yet fully manifested," he said, adding, "Looking at the (stock) market falling 10% and then bouncing back by 10%, this is an astonishing level of complacency."
In fact, the Standard & Poor's (S&P) 500 index fell sharply after the announcement of mutual tariffs by the Donald Trump administration in early April, but rebounded after the announcement of tariff delays and has maintained an upward trend compared to the beginning of the year. In this regard, Dimon assessed that "U.S. asset prices remain somewhat overvalued."
He also warned that despite the recent tariff delays between the U.S. and China resulting in lower tariffs, the current level of tariffs is "fairly extreme," and that "the possibility of inflation rising and stagflation occurring is higher than the market expects."
Regarding geopolitical risks, Dimon CEO stated that it is at a "very, very, very dangerous level," emphasizing the term "very" three times.
At the event, he also announced that JPMorgan clients would be allowed to transact Bitcoin-related assets through JPMorgan accounts. "I do not endorse smoking, but I advocate for the right to smoke," he said, adding, "I also respect the right to buy Bitcoin."
This is interpreted as a somewhat flexible change in his stance, having previously criticized Bitcoin and cryptocurrencies by stating they have "no utility."