Arabic version: ديمون يحذر من أن الرافعة المالية الخفية قد تعطل الأسواق

According to Cnbc, JPMorgan Chief Executive Officer Jamie Dimon warned that leverage across financial markets remains elevated and that hidden borrowing could amplify market disruptions.

“Margin debt is the highest it has ever been,” Dimon said in an interview with CNBC’s Leslie Picker. He said some borrowing is not labeled margin debt and described leverage through prime brokerages, hedge funds, exchange-traded funds and Treasury arbitrage strategies. “The market leverage is pretty high,” he said.

Dimon said heavy leverage raises the chance that one investor or fund could quickly disrupt markets and unsettle participants. However, he did not characterize the situation as a systemic threat, saying markets have generally been able to absorb isolated failures.

Asked about the recent collapse of AI-focused hedge fund Situational Awareness, for which JPMorgan was one of the prime brokers, Dimon said the episode showed markets could absorb the firm’s failure without broader disruption. The fund suffered losses after leveraged technology bets turned against it, prompting margin calls and liquidation of much of its public-equity portfolio.

Dimon distinguished current conditions from the 2008 financial crisis, arguing that leverage alone does not necessarily create systemic stress. He also said banks and clearing houses generally require more collateral when volatility rises. Separately, he cited government deficits, infrastructure investment and global rearmament as forces that could support higher long-term interest rates and rekindle inflationary pressures.