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about economy civilians infrastructure in Ukraine
The U.S. economy is facing "unprecedented" issues, with a combination of high in ation combined
with Russia's invasion of Ukraine having the potential to "dramatically increase the risks ahead,"
wrote JPMorgan Chase CEO Jamie Dimon in his annual shareholder letter.
Dimon, who heads the biggest U.S. bank by assets, said that these issues could a ect the economy
"over the next few years and on geopolitics for the next several decades," especially as the Federal
Reserve is now hiking interest rates to battle the highest in ation in four decades.
"The con uence of these factors may be unprecedented," Dimon wrote in the April 4 letter. "Each of
these three factors mentioned above is unique in its own right: The dramatic stimulus-fueled
recovery from the COVID 19 pandemic, the likely need for rapidly raising rates and the required
reversal of QE, and the war in Ukraine and the sanctions on Russia."
He added, "They present completely di erent circumstances than what we've experienced in the
past — and their con uence may dramatically increase the risks ahead."
Dimon said that JPMorgan and investors "should prepare for the potential negative outcomes."
Dimon's letter, which is considered essential reading in the investment community, is decidedly
more downbeat than his missive in 2021, when he had an upbeat reading on the economy. At that
time, he predicted that widespread vaccinations, along with more government spending and
business reopening, would spur the economic recovery for several years.
To be sure, there have been dramatic changes in the U.S. economy and the geopolitical situation
since 2021. For one, in ation picked up in the middle of 2021, surging to 7.9% in February. And
Russia's invasion of Ukraine is likely to "slow the global economy," Dimon wrote on Monday.
"America must be ready for the possibility of an extended war in Ukraine with unpredictable
outcomes," he wrote. "We need to pursue short-term and long-term strategies with the goal of not
only solving the current crisis but also maintaining the long-term unity of the newly strengthened
democratic alliances."
JPMorgan stands to lose $1 billion due to Russia's war on Ukraine, he noted. But the U.S. should
increase sanctions against Russia, direct "billions of dollars in aid" to Ukraine and help with Europe's
migration crisis as a result of the war, Dimon said.
CBS News finds evidence of Zelenskyy tells U.N. Russia is Harvard students help Ukraine's Zelenskyy calls on
atrocities near Ukraine's "deliberately destroying Ukrainians fleeing violence world to take action over
capital Ukrainian cities" find housing atrocities
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