KUALA LUMPUR, Sept 8 (Bernama) -- Bursa Malaysia closed almost flat on Tuesday as buying interest rotated away from index heavyweights towards smaller-cap construction stocks, with sentiment affected by geopolitical uncertainty, said an analyst. At 5 pm, the FTSE Bursa Malaysia KLCI (FBM KLCI) eased 0.39 of a point to 1,714.40 from Monday’s close of 1,714.79. The benchmark index opened 1.65 points lower at 1,713.14 and moved between 1,710.44 and 1,714.50 throughout the trading session. The broader market was almost evenly balanced, with decliners leading gainers 548 to 546, while 598 counters were unchanged, 1,107 were untraded and 25 were suspended. Turnover expanded to 4.13 billion units valued at RM3.14 billion from 3.60 billion units valued at RM2.45 billion on Monday.
Key Takeaways:
Dimon remains cautious on the US economy, citing the lagging impact of tariffs, immigration, geopolitics, and fiscal policy.
He warned that expected Fed rate cuts will be immaterial amid weakening conditions.
JPMorgan is preparing for more banking sector consolidation, while continuing its European digital expansion.
Dimon’s Economic Concerns
JPMorgan Chase CEO Jamie Dimon said the full effects of Trump-era tariffs and new geopolitical headwinds have yet to materialize, stressing that these risks often unfold over long cycles. Speaking on the Office Hours: Business Editionpodcast, he cautioned investors not to underestimate the delayed impact of tariffs, immigration pressures, and fiscal measures from Washington.
“The economy is weakening,” Dimon said separately on CNBC, adding that Federal Reserve interest-rate cuts will have only a limited effect in countering the slowdown.
Market and Policy Outlook
While US GDP growth in Q2 was revised higher on stronger investment in intellectual property, including AI, Dimon warned tariff uncertainty remains a critical overhang. He has consistently flagged risks of recession, wider credit spreads, and renewed inflation pressure, even as peers leaned more bullish.
Dimon said JPMorgan has been doubling down on policy engagement to help shape measures it views as beneficial to the US economy.
Banking Sector Dynamics
Dimon also addressed industry structure, predicting further consolidation in US banking. He ruled out buying a domestic bank given current restrictions, and downplayed overseas acquisitions. Instead, JPMorgan is focusing on organic expansion, including the planned launch of a digital bank in Germany in 2026, following its UK entry.
Leadership Transition
Now in his 19th year as CEO, Dimon once again declined to give a timeline for his retirement. He suggested his successor would most likely be promoted internally, while he may transition to a chairman role for several years.
“I have a great relationship with all the people here. The board is likely to make me chairman for a couple of years,” he said.
Bottom Line
Dimon’s message underscores persistent caution: even with resilient growth and investor optimism, long-cycle risks from tariffs and geopolitics could weigh on the US economy. His outlook suggests rate cuts may not provide the relief markets expect, leaving uncertainty elevated heading into 2026.
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