JPMorgan CEO Dimon: Optimism Has Become "Overly Excessive"

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JPMorgan CEO Jamie Dimon warns sharply that there is a serious over-optimism in the current financial markets, pointing out that unexpectedly strong inflation rebound and ongoing geopolitical conflicts could be deadly risks that break the illusion of economic prosperity.

Although current U.S. economic data appears strong and asset prices are high, investors are ignoring the accumulating macro systemic risks, and optimism has gone “too far.” There is a significant possibility of a sharp rebound in inflation indicators, which is like a “skunk at the party,” and could even trigger the next recession.

The rise in energy costs caused by Middle East conflicts will substantially worsen price pressures; Dimon believes the probability of the situation worsening is much higher than the market currently expects.

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