Dimon’s ‘Cockroach’ Fear Revives Threat of Cracks in Credit (1)

Investors spooked by the implosion of auto lender Tricolor Holdings and car-parts supplier First Brands Group got little reassurance Tuesday from the head of the biggest US bank.

“My antenna goes up when things like that happen,” Jamie Dimon, JPMorgan Chase & Co.’s chief executive officer, said on a call with analysts. “I probably shouldn’t say this, but when you see one cockroach, there are probably more. Everyone should be forewarned on this one.”

The pair of bankruptcies were a shock for the credit markets, where companies have been borrowing at a record pace while handing investors outsized ...