financetom
Economy
financetom
/
Economy
/
JPMorgan investors look for clarity on tariff impact, succession plan
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
JPMorgan investors look for clarity on tariff impact, succession plan
May 26, 2025 10:04 AM

NEW YORK (Reuters) -JPMorgan Chase investors will be keen to learn how the largest U.S. lender and the world's biggest economy are likely to be impacted by U.S. tariffs on its trading partners at the bank's investor day on Monday as economic uncertainty remains.

Financial markets have been volatile in the initial few months of the Trump administration as its move to increase tariffs on trading partners prompted some investors to move away from American assets. The White House has since made progress on tariff deals.

Chief Executive Jamie Dimon and his team will showcase bank's strategies, focus areas and provide insights on business and consumer sentiment on Monday at JPMorgan's investor day in New York.

Dimon had warned of "considerable turbulence" in the economy at a time when clients were becoming cautious and pulling back on deals.

Since a lot was still very unclear last month, the information void left investors feeling like there might still be risk to investment banking, lending outlooks and asset quality, Scott Siefers, analyst at Piper Sandler said in a report, adding that investors will look for more clarity.

While investors are not expecting a surprise succession announcement, they do expect that the company will showcase potential successors to Dimon.

"We expect all eyes to be on the next generation of leadership. CEO succession timing has historically been a question at this event," said Jason Goldberg, analyst at Barclays.

Dimon, 69, has run JPMorgan for more than 19 years, outlasting many other CEOs and had said at last investor day that the succession timeline was "not five years anymore."

Troy Rohrbaugh and Doug Petno, the co-CEOs of its commercial and investment bank, are candidates for the top job. Marianne Lake, CEO of consumer and community banking, and Mary Erdoes, CEO of asset and wealth management, are also in the running.

Lake is viewed as the frontrunner, according to analysts at Morgan Stanley, who added that clues on when Dimon may step down were possible on investor day.

Analysts don't expect any significant changes in its earnings outlook. The bank had revised its net interest income outlook in April.

While earnings from trading are expected to look strong due to market volatility, investment banking fees may see tepid growth at a time when deal activity had slowed down.

There are also concerns over how much the largest bank can continue to grow at a time when other banks seem more front-footed and willing to compete, said Mike Mayo, analyst at Wells Fargo, in a report.

"The chance that this 'Goliath of Goliaths' wins more and faster seems to increase. Helped by its ability to invest for growth but while still maintaining top-tier efficiency," Mayo added.

Investors will also be keen to hear how the bank deploys excess capital, including if it buys back more stock, and will also be eager to hear more about JPMorgan's use of artificial intelligence with the bank's $18 billion tech budget.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Corporate greed not to blame for price pressures, Fed study shows
Corporate greed not to blame for price pressures, Fed study shows
May 13, 2024
(Reuters) - Corporate price gouging has not been a primary driver of U.S. inflation, according to research published on Monday by economists at the Federal Reserve Bank of San Francisco. While markups for motor vehicles and petroleum products did rise sharply during the 2021-2022 inflation surge, markups across the entire spectrum of U.S. goods and services have been relatively flat...
Increasing Short-Term Inflation Expectations Weigh on US Equity Indexes Ahead of Consumer, Producer Prices
Increasing Short-Term Inflation Expectations Weigh on US Equity Indexes Ahead of Consumer, Producer Prices
May 13, 2024
01:32 PM EDT, 05/13/2024 (MT Newswires) -- US equity indexes traded mixed after midday on Monday as expectations for inflation one year ahead increased, adding to concern near-term price pressures are growing in the economy. The S&P 500 slipped less than 0.1% at 5,218.1, and the Dow Jones Industrial Average fell 0.2% to 39,430.2. The Nasdaq Composite rose 0.1% to...
Consumers' Inflation Expectations Rise in April, NY Fed Survey Shows
Consumers' Inflation Expectations Rise in April, NY Fed Survey Shows
May 13, 2024
01:33 PM EDT, 05/13/2024 (MT Newswires) -- US consumers' short- and long-term inflation expectations increased in April, while the home price growth outlook hit the highest level since July 2022, the Federal Reserve Bank of New York said Monday. Median one-year inflation expectations rose to 3.3% last month from 3% in March amid broad-based gains in commodity price outlooks, according...
Federal Reserve Watch for May 13: Jefferson Says Appropriate to Maintain Restrictive Stance Until See Further Inflation Progress
Federal Reserve Watch for May 13: Jefferson Says Appropriate to Maintain Restrictive Stance Until See Further Inflation Progress
May 13, 2024
02:45 PM EDT, 05/13/2024 (MT Newswires) -- Fed Vice Chair Philip Jefferson (voter) said it is appropriate to maintain the federal funds rate in restrictive territory until there is further evidence that inflation is slowing toward the Fed's 2% goal. Recent comments of note: (May 10) Federal Reserve Governor Michelle Bowman (voter) said the Federal Open Market Committee should proceed...
Copyright 2023-2026 - www.financetom.com All Rights Reserved