Risk in the Strait, Pressure on Everything Else
JPMorgan’s warning matters because a disruption in the Strait of Hormuz would not stay confined to the oil market for long.
When a route this critical comes under pressure, energy prices become a global macro issue very quickly. Higher oil does not just affect producers and transport costs. It feeds into inflation expectations, market sentiment, and broader concerns about economic stability. That is why projections like $150 oil immediately get attention.
At that point, the story is no longer only about supply disruption. It becomes about how geopolitical risk starts repricing the wider global economy.