JPMorgan Prepares for 40% Stock Market Decline, Dimon Says

A 40% slide in stocks is among the shocks JPMorgan Chase is preparing to withstand, CEO Jamie Dimon said, despite his assessment that the U.S. economy remains strong. The bank is also preparing for bond credit spreads to widen two to three times. Credit spreads measure the extra yield investors require to hold bonds relative to safer debt. Dimon pointed to rising corporate profits, low unemployment and relatively low leverage among businesses and consumers as signs of economic strength. He also identified persistent inflation over the past five years, large government deficits and wars abroad as risks.

Source: TokenPost