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JPMorgan Chase Chief Executive Jamie Dimon said the US economy was “booming” but warned he was “cautious” about a soft landing.
In a wide-ranging interview Tuesday with the Economic Club of New York, Dimon said the state of the U.S. economy is “incredible” and has been “booming for quite some time.” That flies in the face of fears over the past two years that the Federal Reserve’s rapid series of interest rate hikes would tip the economy into a recession.
“We’re in pretty good shape and so far it looks like a soft landing scenario,” Dimon said. “But put me on the safe side of that one.”
He cited a saying from his early days on Wall Street: “something like, ‘Markets will do whatever they have to do to harm the greatest number of people.’ This might be one of those setups.
Dimon, 68, who as head of the largest U.S. bank by assets often uses his public remarks to opine on issues far beyond Wall Street, said he was surprised that geopolitical tensions have not had a greater impact on the price of oil, which is trading. at around $88 per barrel.
“I’m a little surprised that the situation hasn’t gotten worse in the oil and gas sector,” he said, citing the risks of attacks on energy infrastructure. “It doesn’t take much to bring oil and gas prices back to $120 or more.”
Dimon’s stature on Wall Street led to calls last year for him to run for president, from hedge fund billionaire Bill Ackman. He resisted.
“I’ve always said I would love to be president, but you guys will have to anoint me,” Dimon said, to laughter from the crowd.
He called for more people from the business world to serve in government and also gave advice to whoever becomes president next year.
“I want the next president, whoever it is, to put the other party in his cabinet,” he said. “So if it’s Biden, he puts Republicans in his cabinet. If it’s Trump, he puts Democrats in his cabinet. I would like to see practitioners return to the government, like all of us – not me, but you – to help and serve.
Dimon also congratulated Indian Prime Minister Narendra Modi, who is campaigning for another five-year term.
“Modi has done an incredible job in India,” Dimon said. “I know the liberal press here, they beat him up. It lifted 400 million people out of poverty.”