Former Commerce Secretary Wilbur Ross breaks down tariff talks with China with “Kudrow.”
CEOs of the two largest banks in America, how the president is Donald Trump's Tariffs and other factors have affected the economy and markets with the release of its quarterly revenue report on Friday.
JPMorgan Chase CEO Jamie Dimon and Wells Fargo CEO Charlie Scharf discussed Trump tariffs in letters included in each of the company's income reports on Friday.
Dimon, who wrote to shareholders earlier in the week, said tariffs are likely to increase inflation and likely raise concerns about the impact on the US economic alliance, noting that tariffs and trade place importance on the economic outlook.
“The company faces considerable turbulence (including geopolitics), with potential positives of tax reform and deregulation, potential negatives of tariffs and 'trade wars,' continued expansion of stickiness, high financial obstacles, and rather high asset prices and instability,” Dimon wrote. “As always, we want the best, but we'll prepare our company for a wide range of scenarios.”
JPMorgan Chase CEO Jamie Dimon issues customs warning in its annual letter
Jamie Dimon, CEO of JPMorgan Chase, said tariffs and a “trade war” could be negative for the economy. (Getty Images/Chris Ratcliffe via Getty Images/Bloomberg)
Schaaf said he and the bank support efforts to improve trade terms for American companies, but acknowledged the risks and said the faster the Trump administration can secure a favorable trade deal, the better the US economy will be.
“We support the administration's willingness to consider the US fair trade barriers, but there are certainly risks associated with such important actions. Timely solutions that benefit the US are good for businesses, consumers and markets,” he said.
Jamie Dimon warns that the recession is now a “probably the outcome” for the US economy
Wells Fargo CEO Charlie Scharf said a quick resolution to the tariff war would help the US economy. (Getty Images/Kyle Grillo via Getty Images/Bloomberg)
Earlier this week, Trump announced a 90-day suspension in his “mutual” tariff plan, but previously implemented 25% tariffs on Mexico and Canada, with the exception of products covered by the US-Canada agreement. He also raised tariffs on imports from China to 145%, urging the Chinese government to retaliate with a 125% tariff on US exports.
| Ticker | safety | last | change | change % |
|---|---|---|---|---|
| JPM | JPMorgan Chase & Co. | 234.88 | +8.14 |
+3.59% |
| WFC | Wells Fargo & Co. | 63.11 | -3.22 |
-4.85% |
The administration has said it has begun negotiations with other US trading partners, but at this time the timeline for the completion of such transactions is unknown.
Vietnam has prepared to crack down on China's trade to avoid Trump's tariffs: Report
Schaff added that the economy could slow this year due to uncertainty about trade and other policies, but noted that it could change depending on how policy changes occur and when they occur.
Duties are taxes on imports paid by importers, usually passing on higher costs to consumers. (Qian Weizhong/VCG via Getty Images)
“We expect continuous volatility and uncertainty, and are being prepared for the slow economic environment in 2025, but the actual outcomes will depend on the outcome and timing of policy changes,” he writes.
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“We and our customers come into our current environment from a position of strength that should serve us,” Scharf added. “We are prepared for a variety of outcomes. Our focus is unwavering and we will continue to transform Wells Fargo by investing in building a well-controlled, faster-growing and higher-grossing company while we work to be more suited to our customers and become more efficient.”
