JPMorgan Chase CEO Jamie Dimon has expressed concerns about the U.S. economy, following a significant revision in the Labor Department’s job data.
Slowing Economy, Low Consumer Confidence, Says Dimon
Dimon, in a statement on Tuesday, pointed out that the U.S. economy is showing signs of “slowing down,” reported CNBC. This insight followed the Labor Department's revision of nonfarm payrolls data through March 2025, which reduced the job count by 911,000 compared to earlier estimates. The adjustment aligned with Wall Street's expectations and represented the largest revision in more than 20 years.
“I think the economy is weakening,” Dimon stated. “Whether it's on the way to recession or just weakening, I don't know,” stated the JPMorgan CEO.
Dimon, who has access to a wide range of data on consumers, corporations, and global trade, noted that while most consumers still have jobs and are spending money, their confidence may have been affected. He also highlighted the current mix of factors in the economy, including a weakening consumer and strong corporate profits.
"We just have to wait and see,” stated Dimon.
He indicated that the Federal Reserve is likely to cut its benchmark interest rate at the next meeting, though he expressed doubt about whether the move would meaningfully affect the economy.
US Job Data Revised Down Drastically, Trump Slams Fed's Delay
The unexpected revision in the job data has raised concerns about the strength of the U.S. labor market. The Bureau of Labor Statistics released its annual preliminary benchmark revision on Tuesday, revealing that it had overstated job growth by 911,000 in the year through March 2025.
This revision has also sparked criticism of the Federal Reserve, with President Donald Trump accusing the central bank of being dangerously behind the curve. Trump questioned whether it was already too late to rectify the situation.
Dimon’s Past Warns Of Inflation, Recession After Trump Tariffs
Meanwhile, Jamie Dimon, in the past has given various warnings about recession being the “likely outcome” after Trump’s ‘Liberation Day’ tariffs rattled financial markets in April.
In his annual letter to shareholders, Dimon addressed the consequences of Trump's tariff policy unveiled on April 2. He cautioned about possible short-term effects, particularly inflation affecting both imports and domestic products. "We are likely to see inflationary outcomes, not only on imported goods but on domestic prices, as input costs rise and demand increases on domestic products," Dimon stated.
Price Action: SPDR S&P 500 ETF (NYSE:SPY) and Invesco QQQ Trust, Series 1 (NASDAQ:QQQ) climbed 11.24% and 13.77%, respectively, on a year-to-date basis, as per Benzinga Pro.
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