{"id":2028755,"date":"2023-09-12T00:51:01","date_gmt":"2023-09-12T04:51:01","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/americans-are-making-huge-mistake-to-believe-certain-booming-economy-narratives-jamie-dimon\/"},"modified":"2023-09-12T00:54:49","modified_gmt":"2023-09-12T04:54:49","slug":"americans-are-making-huge-mistake-to-believe-certain-booming-economy-narratives-jamie-dimon","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/americans-are-making-huge-mistake-to-believe-certain-booming-economy-narratives-jamie-dimon\/","title":{"rendered":"Americans are mistaken to believe certain narratives about the booming economy, warns Jamie Dimon."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">28<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Famericans-are-making-huge-mistake-to-believe-certain-booming-economy-narratives-jamie-dimon%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2028755&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><div data-post-content=\"true\" class=\"post_content\" id=\"post_content\">\n<p>JPMorgan Chase CEO Jamie Dimon \u200ddelivered a powerful message at a financial conference in New York on Monday. He warned that those who believe the\u2064 U.S. economy will continue to thrive solely on consumer strength \u200care making &#8220;a huge mistake.&#8221;<\/p>\n<p>Speaking at the Barclays \u2062Global Financial Services Conference on Sept. 11, \u200bMr. \u200bDimon highlighted several risks to the economy, including the \u200dUkraine war, Federal Reserve monetary tightening, and\u2064 increased reliance on government spending.<\/p>\n<div class=\"my-5\">\n<blockquote>\n<p>&#8220;To say the consumer is\u200d strong today, meaning you are going to have a booming environment for\u2064 years, is a huge mistake,&#8221; he <a href=\"https:\/\/www.jpmorganchase.com\/ir\/news\/2023\/jpmc-to-present-at-the-barclays-global-financial-services-conference\" target=\"_blank\" rel=\"noopener\">said<\/a>.<\/p>\n<\/blockquote><\/div>\n<div class=\"shortcode\">\n<div class=\"border-comp-divider mb-4 mr-4 w-full max-w-[500px] border px-5 py-4 text-[16px] leading-[20px] text-[#262626] md:float-left\" id=\"in_article_related_stories\">\n<div class=\"mb-3 font-sans text-[16px] font-semibold uppercase leading-[19px] text-[#2F2F2F]\">Related Stories<\/div>\n<div class=\"mb-4 flex gap-2\">\n<div class=\"grow\">\n<div class=\"mb-1 line-clamp-2\"><a href=\"http:\/\/www.theepochtimes.com\/article\/labor-market-cools-as-job-openings-drop-manufacturing-recession-deepens-5435604\">Labor\u2062 Market Cools\u200d as Job Openings Drop, Manufacturing Recession Deepens<\/a><\/div>\n<div class=\"text-comp-caption text-[14px] leading-[18px]\">8\/1\/2023<\/div>\n<\/p><\/div>\n<div class=\"shrink-0 basis-[120px]\"><a href=\"http:\/\/www.theepochtimes.com\/article\/labor-market-cools-as-job-openings-drop-manufacturing-recession-deepens-5435604\"><\/a><\/div>\n<\/p><\/div>\n<div class=\"mb-4 flex gap-2\">\n<div class=\"grow\">\n<div class=\"mb-1 line-clamp-2\"><a href=\"http:\/\/www.theepochtimes.com\/article\/us-economy-grows-at-stronger-than-expected-pace-despite-recession-calls-5426897\">US Economy Grows at Stronger-Than-Expected Pace Despite Recession Calls<\/a><\/div>\n<div class=\"text-comp-caption text-[14px] leading-[18px]\">7\/27\/2023<\/div>\n<\/p><\/div>\n<div class=\"shrink-0 basis-[120px]\"><a href=\"http:\/\/www.theepochtimes.com\/article\/us-economy-grows-at-stronger-than-expected-pace-despite-recession-calls-5426897\"><\/a><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div class=\"my-5\">\n<p>The \u200cnarrative of a booming economy has gained traction in recent months, fueled by <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/white-house-admits-inflation-unacceptably-high\/\" title=\"White House Admits Inflation \u2018Unacceptably High\u2019\">strong retail sales<\/a> and wage growth, while concerns of a recession have subsided. However, there are\u200c indications that the recent surge in consumer sentiment may be\u200d short-lived and that the economy is encountering obstacles.<\/p>\n<h2>Consumer Strength Weakening?<\/h2>\n<p>Consumer spending, which accounts for approximately 70 percent of U.S. <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/its-official-trump-crushes-record-for-largest-gdp-increase-in-us-history-3rd-quarter-gdp-up-33-1\/\" title=\"IT'S OFFICIAL: Trump Crushes Record for Largest GDP Increase in US History -- 3rd Quarter GDP Up 33.1%\">gross domestic product<\/a>, experienced solid \u200cgrowth in \u2063July, the most recent month for which data is available. Nevertheless, economists\u2063 widely anticipate \u2062that the aggressive interest rate hikes implemented by the Federal \u200cReserve over the past year will have a greater impact on domestic demand.<\/p>\n<\/p><\/div>\n<p>The latest retail sales data revealed that Americans spent more\u2063 than anticipated in July,\u200b splurging on \u200dhobbies, sporting goods, and clothing. As a result, economists at Goldman \u2062Sachs raised their third-quarter gross domestic product estimate by 0.7 percentage points to \u2062a 2.2 percent annualized rate.<\/p>\n<div class=\"my-5\">\n<p>However, there are \u200dsigns that this boom\u2064 may not be sustainable. The August consumer tracker from Deloitte indicates that financial\u2062 well-being sentiment has\u2063 stagnated, with an increasing percentage\u2062 of \u200dconsumers expressing concerns about savings \u200cand delaying major purchases, while spending intentions &#8220;remain on a long-term downtrend.&#8221;<\/p>\n<\/p><\/div>\n<div class=\"shortcode post-related-videos\">\n<div class=\"lazyload-wrapper\">\n<div class=\"lazyload-placeholder\"><\/div>\n<\/p><\/div>\n<\/p><\/div>\n<div class=\"my-5\">\n<p>A separate \u2064consumer confidence barometer \u2063from the Conference\u200c Board revealed that, after\u2062 a significant increase in July, its gauge \u200dretreated to a level &#8220;just\u2063 above\u2064 80\u2014the historical threshold\u200c signaling a recession within the next\u2064 year.&#8221;<\/p>\n<\/p><\/div>\n<p>While financial markets have largely dismissed recession\u2062 fears during the summer, recent data \u2064suggests \u2062that the country may be reaching a &#8220;stagnation&#8221; point.<\/p>\n<div class=\"my-5\">\n<p>&#8220;A near-stalling of \u200dbusiness \u200bactivity in August raises doubts over the strength \u2064of U.S. economic growth in the third quarter,&#8221; said Chris \u2064Williamson, chief business economist at S&#038;P Global Market\u200c Intelligence, in a <a href=\"https:\/\/www.pmi.spglobal.com\/Public\/Home\/PressRelease\/3bfc5a90d9d2416a8f6709f78f90d014\" target=\"_blank\" rel=\"noopener\">report<\/a> that highlighted tumbling new orders, rising input cost inflation, and a\u200b slowdown in job creation.<\/p>\n<\/p><\/div>\n<p>Mr. Dimon&#8217;s remarks at the conference resonated with this sentiment. While acknowledging that the health of U.S. consumers and businesses is\u2064 still &#8220;pretty good,&#8221; he cautioned against\u2062 overconfidence.<\/p>\n<p>Key concerns\u2062 he\u2062 raised included the twin factors of central bank \u200befforts to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/americans-are-making-huge-mistake-to-believe-certain-booming-economy-narratives-jamie-dimon\/\" title=\"Americans are mistaken to believe certain narratives about the booming economy, warns Jamie Dimon.\">scale back easy money policies<\/a>, which have \u200cled to <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/gm-vehicle-sales-tumble-15-percent-as-chip-crunch-supply-snags-drag\/\" title=\"GM Vehicle Sales Tumble 15 Percent as Chip Crunch, Supply Snags Drag\">multi-decade high inflation<\/a>, and governments &#8220;spending like drunken sailors.&#8221;<\/p>\n<div class=\"my-5\">\n<p>&#8220;I \u2064think there&#8217;s a false sense of \u200bsecurity that those two things will end up being OK. I don&#8217;t know,&#8221; he said.<\/p>\n<h2>Higher Capital Requirements<\/h2>\n<p>During the \u2063conference, Mr. Dimon also criticized the higher capital requirements proposed by U.S. regulators for banks, warning that such measures could restrict credit flow and pose another obstacle to \u2062growth.<\/p>\n<\/p><\/div>\n<p>&#8220;I wouldn&#8217;t be a \u2063big buyer of a bank,&#8221; he said, \u200celiciting laughter from the audience, while describing the new proposal as &#8220;hugely disappointing.&#8221;<\/p>\n<div class=\"my-5\">\n<p>As the head \u200cof America&#8217;s largest lender, Mr.\u2064 Dimon questioned the intentions behind the regulatory proposal, which would require larger U.S. banks\u200d with total assets of $100 billion or more \u2064to set \u2062aside billions of dollars to\u200d strengthen their ability to absorb losses during challenging times.<\/p>\n<\/p><\/div>\n<p>&#8220;All I want is fairness, transparency, openness,&#8221; Mr. Dimon emphasized\u2063 regarding the \u200cregulatory proposal, which would mandate banks with total assets of $100 billion or more to maintain an additional 2 \u200cpercentage points in capital above current\u200d levels.<\/p>\n<p>The banking industry has strongly \u200ccriticized the regulatory proposal, with \u2064Bank Policy Institute (BPI) President and\u200d CEO Greg Baer warning of &#8220;higher costs to \u200bconsumers and greater instability for markets&#8221;\u2062 in a statement obtained by \u200dThe Epoch Times.<\/p>\n<p>Mr. \u2062Dimon argued that the \u200dnew\u200b regulatory proposal would require JPMorgan to hold 30 percent more\u2063 capital than a European lender, which he deemed an unfair burden on U.S. banks.<\/p>\n<div class=\"my-5\">\n<p>In \u200dcontrast to Mr. Dimon&#8217;s perspective on stricter bank \u200bcapital rules, some \u2063U.S. re<\/p>\n<\/p><\/div>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>JPMorgan Chase CEO Jamie Dimon cautioned against assuming the U.S. economy will thrive for years due to consumer strength, calling it a &#8220;huge mistake.&#8221; He shared this perspective at the Barclays Global Financial Services Conference in New York on Sept. 11.<\/p>\n","protected":false},"author":118,"featured_media":2028756,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[543],"tags":[],"class_list":["post-2028755","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-the-epoch-times"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2028755","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/118"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2028755"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2028755\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2028756"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2028755"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2028755"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2028755"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}