JPMorgan CEO Jamie Dimon warned that stagflation, a combination of recession and higher inflation, remains a possibility, despite recent signs that inflation is easing. Speaking at a conference, Dimon expressed concern over inflationary pressures from factors like higher deficits and infrastructure spending, which could impact the economy for the next few years.
While inflation data shows some improvement, reports on employment and manufacturing suggest slowing growth, and Dimon believes the U.S. is not yet “out of the woods.” He estimates a 35% to 40% chance of a “soft landing,” meaning a recession is more likely.
