JPMorgan, a global financial institution, has issued a warning regarding the potential for oil prices to surge to $120 per barrel. Such an increase in oil prices, driven by further supply cuts, could pose a significant threat to economic growth in the near term.

The prediction focuses on Brent crude prices, which are currently under pressure due to various factors impacting global oil supply. If these supply constraints continue to intensify in the coming months, Brent crude prices could indeed reach the $120 per barrel mark.

However, JPMorgan's forecast comes with a stark caveat – such elevated oil prices have the potential to severely impede global economic growth. If oil prices were to surge to this extent, it could lead to a substantial slowdown in economic activity, impacting various sectors and nations across the globe.