Inflation, interest rates in US may stay higher than expected: JPMorgan chief

By Ovunc Kutlu

ISTANBUL (AA) - Inflation and interest rates in the US may stay higher than the market expects, JPMorgan Chase Chairman and CEO Jamie Dimon said Friday.

"There has been some progress bringing inflation down, but there are still multiple inflationary forces in front of us," he said in the financial results statement of the US-based multinational financial services company.

Dimon listed those as large fiscal deficits, infrastructure needs, and the restructuring of trade and remilitarization of the world, and added: "Therefore, inflation and interest rates may stay higher than the market expects. And finally, we still do not know the full effects of quantitative tightening on this scale."

"The geopolitical situation remains complex and potentially the most dangerous since World War II – though its outcome and effect on the global economy remain unknown," he added.

JPMorgan Chase saw its net income and revenue increase in the second quarter of this year, according to its financial results report.

The company posted a net income of $18.1 billion in the April-June period, up 25% from $14.5 billion during the same period last year.

Net revenues saw an increase of around 22% to $50.2 billion, from $41.3 billion year-on-year.

Dimon said although many economic indicators continue to be favorable, the company "remains alert to a number of significant uncertain forces."

Despite gains in income and revenue, JPMorgan Chase's stock price was down 2% at 10.37 a.m. EDT (1437GMT) on the New York Stock Exchange.