Recession in the U.S. and Europe is becoming more likely, JPMorgan Chase & Co. CEO Jamie Dimon and his Goldman Sachs colleague David Solomon said this, Bloomberg reported.

Solomon said economic conditions will "tighten meaningfully from here," as the Fed has made clear it's going to raise interest rates to target levels. "When there’s an economic scenario where inflation is embedded it’s very hard to get out of it without a real economic slowdown,” he said at Saudi Arabia’s Future Investment Initiative conference in Riyadh.

According to Dimon, he is more concerned about geopolitics. "The most important thing is the geopolitics around Russia and Ukraine, America and China, relationships of the western world,” he said. “That to me would be far more concerning than whether there’s a mild or slightly severe recession.”

"There’s no question that 2023 looks a little dicey. We don’t really know, I think what you read in the runes it’s pretty safe to say that the US is probably going to have some sort of landing that’s not super soft," said Franck Petitgas, head of international operations at Morgan Stanley. Asia is doing "is doing extremely well” and “will be a great source” of growth and investment. Meanwhile, China is “an enigma.” He also said that Europe "much more in the crosshairs of the crisis.”