“If rates go up because you have inflation, that is not a plus. That is a bad thing,” Dimon said. “So far, we still have a strong economy in spite of these increasing overseas geopolitical issues bursting all over the place.”
When asked to name these issues, Dimon rattled off a list that included the Trump administration’s trade dispute with China, Brexit, the unwinding of bond-purchasing programs by central banks around the world, as well as flareups across Europe, the Middle East and Latin America including in Italy and Turkey.
“It’s an extensive list of stuff,” Dimon said, adding that most of the times, it’s rising rates and not geopolitical issues that ends up derailing economic cycles. “I’m just pointing that out. No one should be surprised if it happens down the road.”