The recent bankruptcy of the Silicon Valley Bank and Signature Bank has raised the chances of a recession in the United States. This opinion was expressed by Jamie Dimon, head of the largest bank in the world, U.S. conglomerate JPMorgan, in an interview with CNN.

“We’re seeing people cutting back a little bit on lending, cutting back a little bit and pulling back a little bit. That’s close to the signs of a recession, although (banking chaos) won’t necessarily lead to a recession,” he said.

Such probability is also predicted by stock market analysts, who emphasize the probability of decline of stock indices, in particular Dow Jones, S&P 500 and others. A recession is defined as a decline in business activity in a state’s economy that lasts for six months or more. The main indicator of a recession is a decline in real GDP for two consecutive quarters.

Dimon warned that “storm clouds” are looming over the U.S. economy. Among the main risks, he cited a tightening of Federal Reserve (Fed) policy, volatile inflation, and the situation in Ukraine.

In the first half of March, the press service of the Federal Deposit Insurance Corporation (FDIC) reported the bankruptcy of Silicon Valley Bank (SVB), the 16th largest U.S. investment bank by assets. SVB became the biggest bankrupt U.S. bank over the past 15 years. At that time, the authorities of the state of New York had closed Signature Bank because of systemic risks.

On the eve of the former U.S. President Donald Trump expressed the view that the dollar could cease to be a world currency because of the policy of current U.S. leader Joe Biden.

Earlier we reported that the collapsed SWB bank would be sold in pieces.