Jamie Dimon says hyperscaler AI spending could hit $1 trillion next year

JPMorgan CEO Jamie Dimon said spending across the hyperscaler AI ecosystem could reach about $1 trillion next year, rising from around $700 billion this year and up from about $300 billion last year. He framed the capex cycle as a boost to economic growth, citing hiring, construction and equipment/materials demand, but warned the same spending could “add a little bit to inflation”.

Dimon also made a point about the inflation path: he remained cautious, saying he hoped price pressures would ease while allowing that there is a chance inflation could persist or even rise. He said the Federal Reserve should stay aligned with its 2% inflation target. At the same time, he suggested AI might prove deflationary over the longer term as the technology improves efficiency, even though it is too early to “pick winners” within the broader AI buildout.

He added that heavy demand for capital from infrastructure, remilitarisation and ongoing government deficits may be pushing interest rates higher. In addition to the inflation discussion, Dimon urged the US and China to “fully engage” on trade, AI and security ahead of the Trump-Xi summit, presenting the talks as important for broader stability.

For FX traders, the key watch is how market pricing responds to the mix of growth-supporting capex and potentially sticky inflation dynamics implied by Dimon’s outlook, and whether US-China engagement reduces perceived tail risks to trade and technology supply chains.