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JPMorgan Chase & Co. chief Jamie Dimon said he can’t rule out the US economy will fall into stagflation as the country faces huge risks from geopolitics, deficits and price pressures.

“I don’t agree that we’re in a sweet spot,” the chief executive officer said in a Bloomberg Television interview from the lender’s Global China Summit in Shanghai. He added that the US Federal Reserve is doing the right thing to wait and see before it decides on monetary policy.

Fed officials have held interest rates steady this year amid a solid economic backdrop and uncertainty about government policy changes — like tariffs — and their potential impact on the economy. Policymakers have said they see an increased risk of confronting both higher inflation and unemployment.

Lenovo Group Ltd. posted its fourth straight quarter of double-digit revenue growth, reflecting a growing lead in PCs as well as demand for AI servers.

The Chinese company reported a faster-than-anticipated 23% rise in sales to about $17 billion. But net income plunged a worse-than-expected 64% to roughly $90 million, reflecting a loss on derivatives and pricing pressures in a still-stagnant PC market.

Lenovo cemented its lead over HP Inc. and Dell Technologies Inc. in the first quarter, when it grew worldwide shipments almost 11%, according to IDC. Investors remain focused on AI server demand, given uncertainty about the macroeconomic outlook and sustainability of the artificial intelligence boom.

Tax incentives for clean electricity production are set to end years earlier then initially proposed in a new version of the giant tax and spending bill released by House Republicans on Wednesday night.

The revised text marked an extended effort to win over party dissidents, including fiscal hardliners who wanted deeper cuts to a series of tax credits created under former President Joe Biden’s signature climate law.

The revisions include ending technology-neutral clean electricity tax credits for sources like wind and solar starting in 2029 and requiring those projects to commence construction within 60 days of the legislation becoming law. The initial version proposed by House Republicans had a longer phase-out time, allowing many of the credits to exist until 2032.

A noted dove on the Bank of Japan’s policy board said there’s no need to make major changes to the bank’s plan for tapering bond purchases, a remark that comes a month before authorities unveil guidelines for bond buying in the period beyond April 2026.

“It is unnecessary at this point to make any major changes to the current plan,” BOJ board member Asahi Noguchi said Thursday in a speech in Miyazaki, southwestern Japan. “The bank will need to examine the reduction plan for April 2026 onward from a longer-term perspective.”

Noguchi spoke a day after the central bank concluded a series of hearings with market participants that will help it determine how fast to wind down its purchases at a time when concerns in the market have led to yield spikes, particularly among longer tenors. The BOJ will update its plans at a board meeting ending June 17.

The South Korean won climbed to a seven-month high late Wednesday after local media reported the direction of the currency was discussed during trade talks with the US.

The currency rallied after Korea Economic Daily cited an unnamed government official as saying the US believes a relatively weak won is a fundamental cause of the Asian nation’s trade surplus. The talks are ongoing and nothing has been decided yet, Korea’s finance ministry said in a statement.

The won advanced as much as almost 2% to 1,368.50 per dollar Wednesday, the strongest level since October. The currency unwound some of those gains Thursday, weakening 0.6%.

Nvidia CEO Jensen Huang said overnight that U.S. chip export controls are a “failure” and warned that the restrictions are doing more damage to American business than to China.

Huang said in a news conference at Computex, an artificial intelligence trade show in Taiwan, that the policies have cut the AI chip leader’s China market share from 95% to 50% and motivated Beijing to make its own chips faster.

Huang’s comments came as the truce between the US and China over tariffs and semiconductors continues to be delicate.

JPMorgan Chase & Co. is seeing a broad-based recovery in China and growing interest from foreign investors seeking to diversify, according to Rita Chan, co-senior country officer for China.

“The development in the last 12 months have definitely been encouraging,” Chan said in an interview with Bloomberg Television from the lender’s Global China Summit in Shanghai.

Chan said there has been an increase in foreign direct investments and a “broad-based recovery in liquidity and volume” in China.

Emerging markets stocks are in the spotlight again as the “sell U.” narrative gained fresh momentum, following Moody’s recent downgrade of the US credit rating.

The Bank of America heralded emerging markets as “the next bull market” recently.

“Weaker US dollar, US bond yield top, China economic recovery…nothing will work better than emerging market stocks,” Bank of America’s team, led by investment strategist Michael Hartnett, said in a note.

Gold strengthened for a fourth day, as investors pushed back against US President Donald Trump’s tax-cut plan and growing fiscal deficit by driving long-range US Treasury yields to near a two-decade high.

Bullion edged higher in early Asian trading to about $3,325 an ounce. Haven appetite has been bolstered amid the risk-off mood for stocks, which has also sparked declines in the US dollar.

The precious metal, which hit an all-time high last month and has gained more than a quarter this year, is up almost 4% so far this week. The renewed favor for gold — after its biggest weekly slump since November — shows a shift in investor focus from immediate tariff impacts to long-term, structural concerns about the US economy.

Singapore flagged the risk of a technical recession due to global tariff tensions even after its economy kick-started 2025 on a faster-than-expected note.

Gross domestic product grew 3.9% in the three months through March from a year earlier, the Ministry of Trade and Industry said in its final estimate on Thursday. The figure compares with a median forecast of a 3.6% growth in a Bloomberg survey of economists, and the government’s advanced estimate of 3.8%.

On a seasonally adjusted quarterly basis, GDP fell 0.6%, versus a forecast of 1% contraction.

Bitcoin surpassed $110,000 for the first time to head toward another record high, with traders increasingly bullish on the prospects of the original cryptocurrency.

Bitcoin climbed as much as 2.2% in early Asian trading on Thursday to hit $110,707, before paring gains, according to data compiled by Bloomberg.

A wave of optimism is buoying Bitcoin after the advancement of a key stablecoin bill in the US senate fueled hopes of greater regulatory clarity for crypto operators. Surging demand from Michael Saylor’s Strategy — which has stockpiled over $50 billion worth of Bitcoin — and a growing list of digital-asset hoarders is another driving force behind the rally.

Oil extended a decline as higher US crude stockpiles reinforced worries about an oversupplied market, and wider financial markets retreated.

Brent traded below $65 a barrel after shedding about 1% over the previous two sessions, with West Texas Intermediate near $61. Commercial inventories of crude rose for a second week, with gauges of both gasoline and distillate demand also weak — even as the US summer driving season approaches.

In broader markets, concerns about Washington’s ballooning deficit spurred declines in US stocks, government bonds and the dollar, with Asian equities set to follow them lower. The ructions come at a time when investor appetite for US assets was already waning across the globe.

Asian shares fell and Treasuries continued their slide at the open Thursday following losses in Wall Street on concerns about the US’s ballooning deficit.

A regional stock gauge dropped for the first time in three days on weaker openings in Australia, Japan and South Korea. The dollar edged down for a fourth consecutive session. US equity-index futures were steady after the S&P 500 index closed down 1.6% on Wednesday, its sharpest slide in a month.

In Asia, investors will be monitoring the Korean won after the currency jumped to a six-month high. Local media had reported that the US believes a relatively weak won is a fundamental cause of South Korea’s trade surplus. The currency weakened 0.4% in early Asian trade.

Wall Street saw one of its most brutal selling sessions overnight in over a month as rising deficit worries led to a spike in bond yields, which in turn hit sentiment around equities.

The run-up seen from lower levels also was a big factor in investors choosing to take money off the table as uncertainties rose. Poor response to the 20-year bond auction, despite high yields, added to the fears on the street.

The Dow fell 800 points, while the S&P 500 and Nasdaq also fell 1.5% each.

Futures on Wall Street are currently at the flat line as caution continues to prevail after Wednesday’s sell-off.

The Dow futures are down 20 points, while futures on the Nasdaq and S&P 500 are also trading at the flat line.

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Futures currently are at the flat line after a brutal sell-off overnight.

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