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JP Morgan’s Jamie Dimon Issues Warning, Says Hidden Moves Obfuscating Reality For Trump’s Economy

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JPMorgan Chase CEO Jamie Dimon is warning that massive amounts of hidden debt buried deep inside global financial markets could trigger sudden, painful market crashes, with the rampant borrowing itself hiding this systemic danger — at least for the moment.

Dimon said a danger of hedge funds and elite traders borrowing off-the-books debt, often through special purpose vehicles (SPVs) or other securitizations. These instruments are used to inflate market bets, seen in near-record numbers, and allow serious structural issues in the economy to hide behind what appears to be a strong banking system — with the overall risk to investors also remaining obscured.

The JPMorgan chief emphasized that the economy may be just one bad trade away from a tidal wave of panic selling, according to CNBC.
“Margin debt is the highest it has ever been,” Dimon said. “There’s a lot of margin debt you don’t see because it’s not called margin debt. It’s called other things. It’s that kind of leverage, some hidden, some public.”

He added that people are rattled over the increased risk that it could take only one investor or fund to trigger broader volatility, increasing the chance of a disrupted market.

(Read more from “JP Morgan’s Jamie Dimon Issues Warning, Says Hidden Moves Obfuscating Reality For Trump’s Economy” HERE)

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JPMorgan Alerted U.S. to Epstein Transfers Involving Wall St. Figures

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Weeks after Jeffrey Epstein died in federal custody in 2019 awaiting prosecution on sex-trafficking charges, JPMorgan Chase filed a report alerting the US government to tens of millions of dollars of potentially suspicious transactions involving him and prominent Wall Street and business figures.

The so-called suspicious activity report that JPMorgan filed identified transactions with Leon Black, the co-founder of private equity firm Apollo Global Management; Glenn Dubin, a well-known hedge fund manager; lawyer Alan Dershowitz; and trusts controlled by Leslie Wexner, the retail tycoon.

The nature of the transactions, as well as Epstein’s role in them, is unclear.

JPMorgan said in its report that it was flagging about 4,700 transactions, totaling more than $1 billion, because they were potentially related to reports of human trafficking involving Epstein. It also mentioned Epstein’s wire transfers to Russian banks and sensitivities around “his relationships with two U.S. presidents.” Epstein at times was close with President Donald Trump and former President Bill Clinton.

None of the men mentioned in the report have been charged with crimes in connection to Epstein. (Read more from “JPMorgan Alerted U.S. to Epstein Transfers Involving Wall St. Figures” HERE)