The CEO of JPMorgan, Jamie Dimon, has expressed concerns that the risk of a downturn in the U.S. stock market is greater than current market assessments suggest. He indicated that he fears a significant correction may occur within a timeframe of six months to two years.
Dimon stated that while artificial intelligence is a tangible reality that will benefit the world in the long run, this does not guarantee profits for all investors in the sector. He noted that “a portion of the money invested in artificial intelligence is likely to be lost.”
He also voiced some apprehension regarding inflation levels, highlighting the numerous factors contributing to uncertainty, including geopolitical tensions and high government spending.
Recently, shares of major technology companies experienced a sharp decline, losing approximately $770 billion in market value. Stocks of Nvidia, Amazon, and Tesla fell by about 5% each, which resulted in the Nasdaq index dropping by 3.6%, marking its worst performance since April.
This drop came after President Donald Trump threatened to impose a “massive increase” in tariffs on Chinese imports, later announcing that the U.S. would implement a 100% tariff on imports from China starting November 1, along with restrictions on exporting “critical software,” which intensified pressure on technology stocks in after-hours trading.