Banking titan forecasts rising inflation and declining employment if economy deteriorates.
JPMorgan Chase CEO Jamie Dimon issued a new warning about the U.S. economy, saying that conditions could deteriorate soon and undermine a potential soft landing.
"I think there's a chance real numbers will deteriorate soon," Dimon said Tuesday at a Morgan Stanley conference.
Dimon pushed back on suggestions that economic surveys showing diminished business and consumer confidence are an indicator of what's to come. He explained that "neither consumers nor businesses ever pick the inflection points," and added that the economy's "soft landing" will probably look weaker as conditions deteriorate.
"Employment will come down a little bit. Inflation will go up a little bit. Hopefully, it's just a little bit," Dimon said, adding that reduced immigration could weaken the economy through its impact on the labor market.
Dimon also raised concerns regarding private credit markets if a recession materializes, saying that banks face different risks in that sector than investors and the current conditions in the sector have made private credit less attractive.