JPMorgan Chase & Co.’s CEO Jamie Dimon has warned that the world economy is facing “considerable turbulence” due to tariffs and trade wars. The bank’s provision for credit losses increased by $1.4 billion to $3.3 billion, driven by uncertain macroeconomic conditions.
Dimon noted that the economy is affected by various factors, including geopolitical tensions, tax reform, and deregulation on one hand, but also by the negative impacts of tariffs, inflation, high fiscal deficits, and volatile asset prices. Despite this, he emphasized the bank’s commitment to maintaining a “fortress” balance sheet.
The increased provision for credit losses reflects the bank’s cautious approach to managing risk in light of these economic uncertainties. As the economy continues to navigate these challenges, investors will be closely monitoring the developments at JPMorgan and other major financial institutions.
Source: https://www.marketwatch.com/story/jpmorgan-chases-profit-powers-past-analyst-estimates-stock-rises-90b14d97