November 2025 - Magazine - Page 64
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OUT of TIME
America's top banker sounds warning on US stock market fall
There is a higher risk of a serious fall in US stocks than is currently being reflected in the market, the head of JP Morgan has told the BBC.
Jamie Dimon, who leads America's largest bank, said he was "far more worried than others" about a serious market correction, which he said could come in the next six months to
two years. In a rare and wide-ranging interview, the bank boss also said that the US had
become a "less reliable" partner on the world stage. He cautioned he was still "a little worried" about inflation in the US, but insisted he thought the Federal Reserve would remain
independent, despite repeated attacks by the Trump administration on its chair Jerome
Powell.
Commenting on the investment, Chancellor Rachel Reeves said: "As one of Dorset's biggest private sector employers, JP Morgan Chase expanding their Bournemouth campus is
fantastic news for the local economy and people who live here."
Opening with his take on the UK's economy, Dimon said he felt Rachel Reeves was doing
a "terrific job", and he felt optimistic about some of the government's attempts to boost
innovation and cut regulation. However, in the broader economic picture, he felt there
were increased risks US stock markets were overheated.
"I am far more worried about that than others," he said. There were a "lot of things out
there" creating an atmosphere of uncertainty, he added, pointing to risk factors like the
geopolitical environment, fiscal spending and the remilitarisation of the world. "All these
things cause a lot of issues that we don't know how to answer," he said. "So I say the level
of uncertainty should be higher in most people's minds than what I would call normal."
Much of the rapid growth in the stock market in recent years has been driven by investment in AI. On Wednesday, the Bank of England drew a comparison with the dot com
Simon Jack and Michael Sheils McNamee
