Jamie Dimon says rates will rise above 5% because there is still 'a lot of underlying inflation'

JPMorgan Chase CEO Jamie Dimon believes that involvement rates could spell higher than what the Federal Reserve presently projects arsenic ostentation remains stubbornly high.

"I really deliberation rates are astir apt going to spell higher than 5% ... due to the fact that I deliberation there's a batch of underlying inflation, which won't spell distant truthful quick," Dimon said connected CNBC's "Squawk Box" Thursday from the World Economic Forum in Davos, Switzerland.

To conflict soaring prices, the Federal Reserve has raised its benchmark involvement complaint to a targeted scope betwixt 4.25% and 4.5%, the highest level successful 15 years. The expected "terminal rate," or constituent wherever officials expect to extremity the complaint hikes, was acceptable astatine 5.1% astatine its December meeting.

"We've had the payment of China's slowing down, the payment of lipid prices dropping a small bit. I deliberation ain state prices astir apt spell up the adjacent 10 years," Dimon said.

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