U.S. banks would suffer no direct damage from a default in Greece, although the broader economic fallout from such a move would hurt everyone, says JPMorgan Chase CEO Jamie Dimon.
"The direct impact of a Greek default is almost zero," Dimon tells CNBC.
"The effect it has on the global economy will obviously filter down to the American banks," Dimon says.
While Greece may not pose too much of a threat to the U.S. financial sector, other parts of Europe do.
"The real issue is Spain and Italy," Dimon says.
The epicenter of the European debt crisis lies in Greece, and if the country defaults, larger neighbors Spain and Italy may feel pressure to follow suit, which would really rattle global financial systems.
"There’s a teeny chance of a catastrophic outcome, which is why the muddle-through is the only good strategy. There is no other good strategy," Dimon says.
Talks between Greece and its private creditors over restructuring the country's debts have stalled.
Greece must work out a deal with its private creditors if it wants to continue to tap aid funds, which the country will need by March, when bond redemptions come due.
The Greek government remains confident a deal will be struck despite repeated snags at the negotiating table.
"The government aims to complete negotiations on the debt swap as early as this week," says Greek government spokesman Pantelis Kapsis, according to Reuters.
"We are now in the most delicate phase of the negotiations to complete the debt swap ... It is clear that what happens in the coming days will affect the country's course for years."
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