JPMorgan Chase CEO Jamie Dimon recently issued a stark warning about the US economy, predicting a looming crisis in the bond market. Speaking at a Ronald Reagan Presidential Foundation event, Dimon stated that the long-term consequences of the massive money printing since 2020 are yet to be fully realized.
A Crack in the System?
Dimon bluntly told regulators, “You are going to see a crack in the bond market. It is going to happen. And you’re going to panic.” He added that while he doesn’t anticipate panic at JPMorgan Chase, he expects the crisis will ultimately benefit the bank. He attributes the upcoming crisis to “bond vigilantes,” who are selling bonds in protest of unsustainable government spending and rising national debt.
A Call for Domestic Improvement
Looking further ahead, Dimon expressed less concern about China as a geopolitical rival, instead focusing on the need for significant internal improvements in the United States. He emphasized the importance of maintaining America’s economic and military dominance to preserve its role as the world’s reserve currency. He stressed that this requires immediate action on several key fronts.
Needed Changes: Regulation, Immigration, and More
Dimon called for a comprehensive overhaul of regulations, immigration policies, the tax system, healthcare, and the education system. He believes these changes are crucial for the long-term health of the US economy.
Bitcoin vs. Military Stockpiling
Dimon also reiterated his skepticism about Bitcoin, arguing that the US should prioritize stockpiling military assets—”guns, bullets, tanks, planes, drones, rare earths”—rather than Bitcoin.
