Fed’s Rate Tightening to Bring About ‘Very Volatile Markets,’ Jamie Dimon Says 

Source: FT

The tightening of monetary policy in the United States could bring about “very volatile markets,” according to JPMorgan Chief Executive Jamie Dimon. QQQ is up 1.69%

• Dimon in a letter to investors said he did not envy the Federal Reserve given the measures it would have to take, as inflation continues to mark historic highs.
• Dimon believes that measures that the Fed would take in any event would cause “lots of consternation and very volatile markets.”
• He noted, however, that should the Fed implement the proper measures, the United States could see years of growth, and inflation would eventually taper down.
• The executive said JPMorgan is prepared in case of rate hikes and markets become volatile, but noted that the Ukrainian conflict could slow down global growth.
• Dimon has since urged American officials to develop a framework which would address the European market’s dependence on Russia, promoting energy security.
• JPMorgan has estimated about $1 billion losses due to its exposure to Russia.