JPMorgan Chase (JPM) CEO Jamie Dimon is worried that President Donald Trump’s tariffs will cause an already lagging U.S. economy to experience even slower growth. He warned as much in his annual letter to shareholders while highlighting a potential fix to trade issues.
Dimon’s warning to investors highlights the struggles of the U.S. economy in dealing with the ongoing trade war and its effects on consumers. He said, “The recent tariffs will likely increase inflation and are causing many to consider a greater probability of a recession. And even with the recent decline in market values, prices remain relatively high. These significant and somewhat unprecedented forces cause us to remain very cautious.”
Dimon Believes America Can Fix Trade Issues Another Way
The JPMorgan Chase CEO previously suggested that tariffs could improve America’s trade position, which is at a $12 billion deficit over the last 20 years. Dimon says this deficit is too large but warns that President Donald Trump’s tariffs are well beyond what’s needed to resolve the issue.
Dimon argues that the U.S. should use its strong energy position to secure economic growth. The JPM CEO notes that the U.S. is completely energy independent and will be for decades. He says the country should use this position to meet global energy demand, especially as it increases alongside the artificial intelligence (AI) boom.
Stocks That Could Suffer Under Trump’s Tariffs
Considering Dimon’s warnings about slowing U.S. economic growth, traders might be wondering what stocks will be most affected by tariffs. Turning to the TipRanks comparison tool, traders will see a list of stocks that could be harmed by the trade war. That includes Apple (AAPL), Tesla (TSLA), Nike (NKE), General Motors (GM), Qualcomm (QCOM), and several others.
