Jamie Dimon, the influential chief executive of JP Morgan Chase, has warned that the United States faces a higher risk of a sharp stock market downturn than investors currently anticipate.

Speaking to the BBC in a rare, wide-ranging interview, the head of America’s largest bank said he was “far more worried than others” about the prospect of a significant correction in equities, which could occur within the next six months to two years.

Dimon also expressed concern that the US has become a “less reliable” partner globally and said he remained “a little worried” about inflation, though he expressed confidence that the Federal Reserve would maintain its independence despite repeated criticism of its chair, Jerome Powell, by the Trump administration.

The veteran banker was in Bournemouth to announce a £350 million expansion of JP Morgan’s campus there and a £3.5 million philanthropic investment in local non-profits — an initiative welcomed by UK Chancellor Rachel Reeves as “fantastic news for the local economy and people of Dorset.”

Before the interview, Dimon appeared before a packed town hall, dressed casually in jeans and an open-collar shirt, high-fiving staff as he made his way to the stage.

Discussing Britain’s economy, Dimon praised Reeves for doing a “terrific job” and said he was optimistic about the government’s efforts to promote innovation and cut regulation.

Turning to global markets, however, he warned of growing vulnerabilities in US equities, pointing to a climate of uncertainty driven by geopolitical tensions, fiscal spending, and what he described as “the remilitarisation of the world.”

“There are a lot of things out there creating uncertainty,” he said. “All these things cause issues that we don’t yet know how to answer. The level of uncertainty should be higher in most people’s minds than what I would call normal.”

Much of the market’s recent growth, he noted, has been fuelled by enthusiasm around artificial intelligence. His comments came a day after the Bank of England compared the AI investment boom to the dot-com bubble of the late 1990s, warning that tech valuations “appear stretched” and could face a “sharp correction.”

“AI is real, and in total it will pay off — just like cars and televisions did,” Dimon said. “But most people involved in them didn’t do well. Some of the money being invested will probably be lost.”

Dimon also touched on global security, an issue he highlighted in his annual shareholder letter earlier this year, where he warned the US could run out of missiles within a week in the event of a conflict in the South China Sea.

“People talk about stockpiling crypto; I always say we should be stockpiling bullets, guns, and bombs,” he told the BBC. “The world’s a much more dangerous place, and I’d rather have safety than not.”

Asked about political pressure on the Federal Reserve, Dimon stressed the importance of central bank independence. While he said he would take former President Trump “at his word” that he would not interfere, he acknowledged the administration’s repeated verbal attacks on Fed Chair Powell, whom Trump has called a “moron” and a “numbskull” for not cutting interest rates faster.

Dimon conceded that the US had become “a little less reliable” internationally but argued that some of Trump’s actions had prompted Europe to confront its underinvestment in NATO and its lack of competitiveness.

He also signalled optimism about progress in trade talks between Washington and New Delhi, saying he believed a deal was close to reducing tariffs imposed on India over its trade with Russia, particularly in oil. “I’ve spoken to several Trump officials who say they want to do that, and I’ve been told that they are going to,” he said.

Dimon’s name has often surfaced among Wall Street figures seen as potential political contenders. Billionaire investor Bill Ackman has previously called him an “incredible choice” for US Treasury secretary, and speculation has occasionally swirled about a possible presidential bid.

Asked directly about political ambitions, Dimon brushed off the idea. “It’s not on the cards,” he said. “My focus is on keeping JP Morgan a healthy and vibrant company.” Then, smiling, he added: “If you gave me the presidency, I’d take it. I think I’d do a good job.”

Source: BBC

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