JP Morgan (JPM) CEO Jamie Dimon Interview

posted in: Notes | 0

JP Morgan (JPM) CEO Jamie Dimon believes a breakup of the entire Eurozone is possible

“YOU KNOW, UNFORTUNATELY THAT COULD BE ONE OF THE FAT TAIL OUTCOMES OF A BREXIT. BECAUSE WHEN YOU GO TO EUROPE, AND I WAS IN ITALY RECENTLY, NETHERLANDS IS GOING TO HAVE A VOTE, ITALY HAS A VERY IMPORTANT REFERENDUM, GERMANY’S GOING TO HAVE A VOTE, YOU HAVE NEW LEADERSHIP IN BRITAIN, THOSE THINGS JUST CAUSE A LOT OF UNCERTAINTY ABOUT WHAT DO PEOPLE WANT. NETHERLANDS THEY ARE TALKING ABOUT HAVING A REFERENDUM LIKE BREXIT. AND YOU DON’T KNOW HOW IT IS GOING TO FALL OUT. AND SO, THAT TO ME IS ONE OF THOSE THINGS OUT THERE THAT COULD POSSIBLY HAPPEN. IT MAY TAKE MORE THAN FIVE YEARS, BUT IT MAY VERY WELL HAPPEN.”

JP Morgan (JPM) CEO Jamie Dimon thinks U.S. GDP would be able to grow at 4% in under different political leadership

“WHAT I WOULD WORRY ABOUT MORE IS THE NEXT PRESIDENT, WHOEVER IT IS, FOCUSES ON THE RIGHT THINGS. I THINK WE CAN GO TO 4%. OK AND THOSE RIGHT THINGS ARE PROPER IMMIGRATION REFORM, PROPER INFRASTRUCTURE SPENDING. DEMOCRATS SAY SPEND A LOT OF MONEY, I KIND OF AGREE WITH THAT. REPUBLICANS SAY IT SHOULDN’T BE BRIDGES TO NOWHERE AND BIG PORK BARREL, I AGREE WITH THAT TOO. SO PROPER INFRASTRUCTURE SPENDING ON ROADS, BRIDGES, TUNNELS, HOSPITALS, SCHOOLS, AIRPORTS WOULD BE GREAT FOR THE UNITED STATES. YOU KNOW, WE NEED CORPORATE TAX REFORM. I WOULD ALSO EXPAND THINGS LIKE THE EARNED INCOME TAX CREDIT TO HELP THE LOWER PAY. SO I THINK THERE ARE A LOT OF WAYS, EDUCATION, THAT WE CAN MAKE THIS COUNTRY BOOM. AND I THINK THAT’S WHAT WE SHOULD BE FOCUSING ON AND NOT JUST POINTING FINGERS AT EACH OTHER AND GETTING MAD ALL THE TIME.”

JP Morgan (JPM) CEO Jamie Dimon doesn’t think that buying 10 year US treasuries at these prices will yield strong returns

“I’M NOT A BUYER OF TEN-YEAR BONDS. I WOULD BE A LITTLE WORRIED ABOUT DRASTIC ACTIONS IN THE TEN-YEAR BOND. THE MORE IMPORTANT THING, AND THE FED TALKS ABOUT IT, IS IF WE HAVE PROPER GROWTH IN THE UNITED STATES, IT WILL START TO NORMALIZE INTEREST RATES. SO THINK OF THE SHORT END, AND YOU KNOW, 25 BASIS POINTS DOESN’T MATTER THAT MUCH, BUT THE FACT IS IF WE START TO NORMALIZE, I PERSONALLY THINK IT’S A GOOD THING. AND IF THAT HAPPENS, MY VIEW IS YOU START TO SEE THE TEN-YEAR GO UP TO A MORE NORMAL PRICE. WE DON’T LOOK AT TODAY’S PRICES IN NORMAL PRICE. ”

 

 

Source: CNBC Video Interview http://video.cnbc.com/gallery/?video=3000539508