Inside President Trump's US$5bn JPMorgan Lawsuit

US President Donald Trump has filed a lawsuit against JPMorgan Chase for US$5bn, alleging that the bank illegally closed his accounts.

The legal action personally names the bank's Chief Executive Officer Jamie Dimon, with whom Trump has maintained a difficult relationship.

The lawsuit claims that Trump and his business empire suffered what he describes as "considerable financial and reputational harm" following the bank's decision to close their accounts in January 2021. This action came after the 2021 riot when Trump supporters stormed the US Capitol to disrupt formal ratification of the election results.

JPMorgan Chase has responded by arguing that the suit "has no merit", stating that the bank "does not close accounts for political or religious reasons". The financial institution adds that it does close accounts because they create legal or regulatory risk for the company.

In an official press release published on 22 January 2025, the bank said: "We have been asking both this administration and prior administrations to change the rules and regulations that put us in this position, and we support the administration's efforts to prevent the weaponisation of the banking sector."

Trump's relationship with Jamie has not been smooth, as the JPMorgan CEO has also spoken out against the Trump administration's proposal to cap credit cards, his immigration policy and his approach towards the Federal Reserve.

Trump has previously taken on the financial services sector for closing accounts and ordered a review into the practice. Shares in JPMorgan Chase slipped on news of the lawsuit but subsequently bounced back.

Competing viewpoints at Davos

Both Trump and Jamie have been active at the World Economic Forum's Annual Meeting in Davos, Switzerland, where the world's leading government and business leaders gathered for a week of discussions from 19 January 2026.

Jamie used the Annual Meeting to label Trump's credit card cap plans as an "economic disaster".

A succession of world leaders have been given the stage in Davos, expressing very different opinions on politics and economics. Trump discussed trade and tariffs, Greenland, and also touched on the development of AI, nuclear power, housing affordability, migration and pandemics.

The Green Party in Switzerland has objected to Trump being given a speaking opportunity at Davos, but Alois Zwinggi, Managing Director of the World Economic Forum, has defended his presence saying that the event must be "an impartial platform for the competition of ideas".

Jamie has been at the helm of JPMorgan Chase for more than 20 years. He has often been urged to run for the position of US President, but has distanced himself from the idea.

Markets react to policy announcements

Trump's financial services and economic policies have often carried significant market impact. Market analysts reported that shares in AmEx, Visa and Mastercard as well as global banks fell following the US President's statements that he would cap credit card rates at 10% on 9 January 2025.

The share price of American Express fell by 4%, while Visa and Mastercard's dropped more than 2% following his mandate for a 10% one-year cap on credit card interest rates. When Trump announced his tariff regime, global markets reacted with volatility.

However, he has caused specific market segments to rally. Trump's venture into digital assets drove investor confidence following his election in 2024, with the value of Bitcoin surging, as Trump's views changed from being a cryptocurrency sceptic to an active market participant.

Through his business empire, he has since moved deeper into cryptocurrency, with Trump Media & Technology Group entering into a definitive agreement to establish a US$6.42bn digital asset treasury company.