JPMorgan Chase is closely monitoring the impact of President Donald Trump’s second term on the economy and has set up a “war room” to analyze new policies issued by the president. According to Mary Callahan Erdoes, head of asset and wealth management, JPMorgan staff have been working non-stop since Trump took office, assessing changes that could affect businesses and investors.
The bank views Trump’s lighter regulatory approach as a welcome sign, particularly for its industry, which has been advocating for rule changes. Erdoes expressed hope for a “lighter touch” in banking regulations, saying it would be beneficial for lending and global economic stability.
Other big banks, such as Bank of America, are also closely watching Trump’s policies. The company’s CEO, Brian Moynihan, noted that tariffs imposed by the new administration could have varying effects on the economy. While 10-15% tariffs might not have a significant impact, rising levels could lead to inflation and wage demands.
Moynihan emphasized that tariffs would likely be absorbed by customers, but warned that higher rates could be “inflationary.” He suggested that the Federal Reserve would need to adapt its monetary policies in response to Trump’s fiscal initiatives.
Source: https://finance.yahoo.com/news/jpmorgans-trump-war-room-pulls-all-nighter-as-us-companies-digest-first-moves-152821098.html