Supply chain issues are a source of growing concern as global economies try to meet rising demand
JPMorgan Chase CEO Jamie Dimon on Monday expressed optimism that the US economy will soon recover from supply chain issues that have plagued companies and consumers in recent months.
“I should never have done that, but I will anticipate,” Dimon said During a virtual appearance at the International Finance Institute’s annual conference. “It won’t be an issue at all next year. This is the worst part of it. I think the great market system will adjust to it like companies.”
Supply chain issues are a source of growing concern as global economies attempt to meet rising demand and recover from the COVID-19 pandemic. Executives at several companies, including Nike, have noted that their earnings may be impacted in the coming months.
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Lack of basic household goods such as toilet paper, raw materials needed for manufacturing and critical technical components such as semiconductors have contributed to the rise in prices for consumers. The issues prompted President Biden to create a task force in June to identify and eliminate bottlenecks in US supply chains.
Dimon argued that is unlikely to prevent the US economy from rebounding from the COVID-19 pandemic and has not deterred consumers from spending money.
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The CEO of JPMorgan Chase noted recent data that consumers are currently spending 20% more than they were before the pandemic.
“Keep in mind, the consumer is buying other stuff,” Dimon said. “They can’t buy a car; they’re buying home improvements. They can’t travel internationally; they travel domestically. The spending level is too high.”