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Elon Musk agrees with Jamie Dimon’s warning of political polarization ‘creating risks that could overshadow anything since World War II’

Elon Musk agrees with Jamie Dimon’s warning of political polarization ‘creating risks that could overshadow anything since World War II’

JP Morgan Chase & Co. (NYSE:JPM) CEO Jamie Dimon’s annual shareholder letter is the moment investors have been waiting to understand the thinking of one of the world’s most influential bankers.

While there is speculation that Dimon may enter politics, even gaining the support of billionaire hedge fund manager Bill Ackman to run for president, JP Morgan shared in a statement that “Jamie has no plans to run” and that “he is”. very happy in his current role.”

That has not stopped him from occasionally delving into politics, as evidenced by his most recent shareholder letter.

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In a section discussing political polarization and geopolitical events, Dimon warned that “recent events could very well create risks that could overshadow anything since World War II.”

Tesla Inc. CEO Elon Musk agreed with the assessment and reposted a story on X highlighting Dimon’s concerns about polarization, with Musk simply adding “Yes.”

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As the stock market continues to reach new highs, Dimon believes investors are not properly assessing risks and says he remains “cautious” on the climate.

He pointed out that markets “seem to be pricing in a 70% to 80% chance of a soft landing” from modest growth combined with falling inflation and interest rates, while he believes “the chances are much smaller than that.”

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Dimon’s caution has proven wise in the past. In his 2008 shareholder letter during the Great Recession, he pointed out that “we have benefited from a strong balance sheet during this financial crisis” at a time when many of JPMorgan’s competitors were failing.

Although Musk and Dimon have found common ground on the issue of political polarization, their companies’ performance has diverged recently.

Tesla Inc. (NASDAQ:TSLA) Shares are down more than 30% year to date, while JPMorgan has seen its shares rise more than 15%.

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Ironically, Musk’s political polarization could turn some customers away from the controversial billionaire’s company.

Ross Gerber, an early Tesla investor, recently expressed frustration with Musk, saying that Tesla investors have “had enough” and that “Tesla can’t sell its cars because of Elon’s behavior.”

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This article Elon Musk Agrees with Jamie Dimon’s Warning on Political Polarization ‘Creating Risks That Could Eclipse Anything Since World War II’ originally appeared on Benzinga.com

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