(Natural News) Jamie Dimon, CEO of financial services giant JPMorgan Chase, recently warned that the U.S. will experience an economic recession within six to nine months. He added that the country will have a credit crisis, with exchange-traded funds and stocks going down.
The JPMorgan bigwig corroborated his warning during an interview with CNBC. He said the mainstream media does not want Americans to be aware of this fact, as it will definitely cause economic instability and panic.
Even though the U.S. is “actually still doing well,” Dimon pointed to a “very, very serious” mix of headwinds will likely tip both the U.S. and the global economy into recession by the middle of next year. He remarked: “You can’t talk about the economy without talking about stuff in the future – and this is serious stuff.”
The JPMorgan CEO cited the impact of runaway inflation, higher than expected interest rates, unknown effects of quantitative tightening and the Russia-Ukraine war as the factors to blame for the impending recession.
“These are very, very serious things which I think are likely to push the U.S. and the world – I mean, Europe is already in recession – and they’re likely to put the U.S. in some kind of recession six to nine months from now,” he said. (Related: World Bank: The global economy is expected to slump this year.)
Dimon mentioned that while the Federal Reserve waited too long and did too little to contain inflation as it jumped to four-decade highs, the central bank is “clearly catching up.” He added that people should keep their fingers crossed that the Fed’s actions can make the effects of the recession more bearable.
While he did not give a definite period on how long a recession in the U.S. might last, he noted that market participants should also assess a range of outcomes instead. These could range from very mild to hard, with a lot of factors reliant on what happens during the Russia-Ukraine war. Moreover, Dimon warned that markets could remain volatile and that this volatility could coincide with disorderly financial conditions.
“JPMorgan is bracing ourselves and we’re going to be very conservative with our balance sheet,” said Dimon, advising investors to do the same. “So, I think, to guess – is hard. Be prepared.”
Bannon: This recession is worse than the period before Great Depression
Dimon’s predictions were already happening in the United Kingdom. The Bank of England intervened in the gilts – long-dated government bonds – in a bid to save the British economy from collapsing. Had the U.K.’s central bank not stepped in, causing pension funds to implode or go out of business, it can have devastating repercussions for the entire country.
During a conversation with InfoWars founder Alex Jones, podcast host and former White House Chief Strategist Steve Bannon noted that the financial situation is more serious than the period before the Great Depression.
He explained that the last time the U.S. was in such a dire situation, Washington set up an entire global infrastructure of zero interest rates. Now that the government threw a lack of gasoline supply as the fire that started the inflation, they no longer know how to tame it.
What the governments are doing is raising interest rates around the world – and with this, they are exposing all the issues in the global financial infrastructure.
“We have $300 trillion of debt paid around the world because interest rates had been near zero and as interest rates start to spike, you’re going to see a collapse all over,” Bannon said.
Last month, Chicago Federal Reserve President Charles Evans also expressed apprehension about the Fed going too far and too fast in its bid to tackle inflation rates.
The Fed raised benchmark interest rates by three-quarters of a percentage point last month and is the third consecutive increase of such a size. Officials also indicated they would continue hiking rates well above the current 3 to 3.25 percent range.
Visit Collapse.news for more information about the possibility of a global recession.
Watch Steve Bannon telling Alex Jones that the U.S. is currently in a financial crisis worse than the Great Depression.
This video is from the InfoWars channel on Brighteon.com.
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