Jamie Dimon issues dire stock market warning

The JPMorgan CEO warned that investors are downplaying severe risks.

Transcript

00:00Is the stock market reading the economy all wrong? That's at least what J.P. Morgan CEO Jamie

00:05Dimon thinks. Speaking at J.P. Morgan's annual Investor Day, Dimon, one of Wall Street's most

00:10influential voices, said that markets are showing an extraordinary amount of complacency

00:14following recent wild swings. He warned that both investors and central bankers are

00:19underestimating the risk created by record U.S. deficits, tariffs, and rising global tensions,

00:24adding that the recent Wall Street comeback from April lows downplays the potential threat of

00:29higher inflation and even stagflation. Dimon also cautioned that the U.S. stock market could fall

00:34by as much as 10% as companies begin to adjust earnings expectations amid rising costs.

00:40This warning comes just days after research firm Moody's downgraded its U.S. credit rating over

00:45concerns about the U.S. government's growing debt, making it the last of the big three agencies to

00:50strip the U.S. of its AAA status. That'll do it for your Daily Briefing. From New York City,

00:55I'm Kelsey Barbario with The Street.

00:59I'm Kelsey Barbario with The Street.

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01:01I'm like, don't forget the U.S. of its taki–

01:14name. I'm like, don't forget it!

01:16I'm like, I'm like, I'm like, don't forget to see you.

01:18You're welcome.

01:19I'm like, don't forget it!

01:21I'm so happy to be here with this, and this is great.