JP Morgan’s Jamie Dimon says US must cut trade deficit

JPMorgan Chase & Co. CEO Jamie Dimon emphasized the urgency for the United States to reduce its fiscal trade deficit, warning that failure to address the issue promptly could lead to more severe problems in the future.

In an interview with Sky News on Wednesday, Dimon cautioned that delaying action could result in a situation that becomes “far more uncomfortable” and difficult to resolve.

Dimon’s warns of inflation

Dimon highlighted the risks associated with borrowing to stimulate growth, noting that while any country can drive short-term economic expansion through borrowing, it does not necessarily translate to sustainable growth.

Dimon said,

“America should be quite aware that we have got to focus on our fiscal deficit issues a little bit more, and that is important for the world.”

He suggested that the current fiscal policies could be contributing to higher inflation rates, though he downplayed the likelihood of an immediate crisis.

Dimon positive on the UK Economy

Shifting focus to the United Kingdom, Dimon expressed optimism about the country’s economic prospects regardless of the outcome of the next general election.

He also voiced confidence in the UK’s ability to maintain positive relations with the European Union post-Brexit.

“The UK economy will do well whoever wins the next general election,” Dimon said, underscoring his belief in the country’s resilience and capacity for strong international relations.

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