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Jamie Dimon shared his annual report for JP Morgan shareholders today, and it has a number of interesting comments.
on the economy…
“We are prepared for potentially higher interest rates, and we may have higher inflation for longer.”
on recent bank failures…
“the stress testing based on the scenario devised by the Federal Reserve Board (the Fed) never incorporated interest rates at higher levels.”
“As I write this letter, the current crisis is not yet over, and even when it is behind us, there will be repercussions from it for years to come.”
I, like many Bitcoiners, am no fan of banking, but I found this report to be pretty enlightening.
Full report can be found here.
Thanks for sharing. Thought you were paraphrasing Jamie to be a Bitcoiner then 😉 who knows, there have been some huge 180s in the past, crazier things have happened
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“We are prepared for potentially higher interest rates, and we may have higher inflation for longer.”
I don't think he's saying that because he think that's going to happen. Markets don't price in more than one 25bps and markets already price in rate cute before end of the year.
-> He doesn't say that because he thinks that's going to happen, he's saying that because he wants to signal that the bank capital allocation is on the conservative/safe side. Investors know that too, interest rates won't hike another percent this time but it's good to know that JPM is as stable as being-able-to-swallow-another-percent stable.
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