Jamie Dimon Warns of an Economic Hurricane

JPMorgan Chase & Co. CEO Jamie Dimon has said that the US consumers have about six to nine months of purchasing power left in their bank accounts, warning the nation about an economic hurricane brewing.

The head of the nation's biggest bank said the recent decline in American savings has not changed his view that the government's pandemic stimulus is still covering consumer wallets. He estimates that about $2 trillion in additional funding is still waiting to be spent.

Dimon said the effects of inflation and changes in consumer spending habits on goods and services have severely distorted data. Low-income households are not so healthy, he added.

JPMorgan said in April that its customers, many of whom are wealthy, spend more on travel and dining. Mr. Dimon said a strong job market and higher wages would further strengthen it.

Dimon warns that the economy is facing uncertainty, as unprecedented stimulus continues to play a role. He said an economic hurricane was being brewed on Wednesday. For example, the war in Ukraine could continue to shake commodity markets, pushing oil prices above $150 a barrel, he said. Brent crude was trading around $116 a barrel on Wednesday.