JPMorgan's Dimon Lauds Trump's 'Thoughtful' Tariffs

JPMorgan Chase CEO Jamie Dimon on Thursday praised President Donald Trump's tariffs, calling them "more moderate and thoughtful" than he anticipated.

In addition to the trade levies, the banking executive gave Trump high marks on the One Big Beautiful Bill Act, passed earlier this month, during an interview on CNBC's "Market Movers."

"I think we have a tax bill that created a very stable tax environment, which is internationally competitive," Dimon said. "So I think it's really important that people should understand. If the United States has a noninternational competitive tax system, it will be bad for the people of the United States — and, believe it or not, particularly lower-income people. And that's where people completely miss sometimes."

"Then we started tariffs; we didn't know what they were going to be," Dimon added. "And now we kind of know, and they're more moderate and thoughtful and more carefully done, and hopefully they'll help some companies export. Maybe some people move manufacturing back here. So far, so good!"

As recently as four months ago, Dimon was singing a different tune when it came to tariffs, raising the specter of a potential recession and predicting that they would slow economic growth.

"The recent tariffs will likely increase inflation and are causing many to consider a greater probability of a recession," Dimon wrote in a memo to JPMorgan Chase shareholders in April. "Whatever you think of the legitimate reasons for the newly announced tariffs — and, of course, there are some — or the long-term effect, good or bad, there are likely to be important short-term effects.

"As for the short term, we are likely to see inflationary outcomes, not only on imported goods but on domestic prices, as input costs rise and demand increases on domestic products. How this plays out on different products will partially depend on their substitutability and price elasticity. Whether or not the menu of tariffs causes a recession remains in question, but it will slow down growth."

Two weeks ago, Dimon cautioned the White House on the necessity of the Federal Reserve maintaining its independence amid Trump's attacks on Fed Chairman Jerome Powell.

"I think the independence of the Fed is absolutely critical," Dimon said on an earnings call. "Playing around with the Fed can have adverse consequences, the absolute opposite of what you might be hoping for."

Trump has urged Powell to lower interest rates and blamed the Fed as the reason the public has not yet felt the full effect of his economic policies.

• Dimon: Market Complacent, Recession Still Possible
• Dimon: Expect Tariffs to Crater S&P Earnings Soon