JPMorgans Jamie Dimon Predicts Fed to Cut Rates by 50 bps

• JPMorgan Chase CEO Jamie Dimon said whether the Federal Reserve cuts interest rates by 25 or 50 basis points, the move is “not going to be earth-shattering”
• Dimon stated that the Fed needs to cut rates, but called it a “minor thing” given the underlying real economy
• He made these comments at a conference on Tuesday

Jamie Dimon, CEO of JPMorgan Chase & Co., said that whether the Federal Reserve cuts interest rates by 25 or 50 basis points, the move will not have a major impact.

Dimon’s Comments at Conference

Dimon made the comments at a conference on Tuesday. He said that the Fed needs to cut rates, but described it as a “minor thing” given the broader economic context.

Fed Widely Expected to Cut Rates

The Fed is widely expected to cut rates at its September meeting, amid concerns about slowing global growth and trade tensions. Market participants are divided on whether the cut will be 25 or 50 basis points.

Impact on Economy

Dimon downplayed the significance of the rate cut itself. He said the “real economy” is more important than whether the Fed tweaks rates up or down.

Previous Rate Cuts

The Fed cut rates in July for the first time since 2008, reducing its benchmark rate 25 basis points. Further cuts are expected in September and possibly December.