JPMorgan Chase Prediction on Oil Price if Russia to Cut Production over G7 Cap

$380/Barrel would make the Great Depression seem like the good ol’ days.

“Oil prices could shoot up astronomically if tensions caused by the Ukraine war persist, JP Morgan has warned. The bank's price prediction verges on the unseemly terrain but the analysts insist that if the West forces Russia into unrealistic output cuts, prices can rise as high as $380 per barrel.”

“JP Morgan says the "stratospheric" rise of oil price will happen in the wake of the US and European punishment for Russia over the Ukraine war.”

"The most obvious and likely risk with a price cap is that Russia might choose not to participate and instead retaliate by reducing exports ... It is likely that the government could retaliate by cutting output as a way to inflict pain on the West. The tightness of the global oil market is on Russia's side," the analysts wrote, according to Bloomberg.”

LINK