With inflation heading lower, Marianne Lake, CEO of Consumer and Community Banking at JPMorgan Chase (JPM, Financial), said Tuesday at an industry conference the U.S. economy remains resilient.
Next week the Federal Reserve is expected to lower its benchmark interest rate; three further cuts by the end of 2024 are expected. Reflecting customers' somewhat steady financial situation, Lake said holiday spending was either solid or slightly better than in the year before. She also pointed out that usually more general economic trends than performance concerns affect any changes to lending criteria.
Consumer deposits peaked in October, dropped early in the year, then steadied. According to Lake, consumer deposits will have peaked, in line with the dip in deposits seen of late. Lake underlined areas of underperformance in small business credit card and loan areas but stressed that corporate confidence has risen as recession worries are subsiding.
