Biggest bank CEO predicts banking collapse in 2023.
1. Fed will increase interest to 5% (its 4.75%)
2. Fed will stop the increase the terminal rate. Dimon thinks that the rate will not stop inflation.
3. People have been dipping into their $1.7 trillion savings. It may soon run out in middle in 2023
When this happens, the economy crashes.
4. Fed again increases the rate to 7%
The malaise brought about by covid, high oil prices, Ukraine war, Taiwan vs China.
The listed bank capital of $2.2 trillion may just be negative $100.00 billion.
