JPMorgan's oil analysts warn that demand destruction has begun, signaling severe economic damage spreading from Asia to global markets. Their latest report details how soaring oil prices are crippling airlines, forcing production cuts in industries like shipping and manufacturing across Asia. Airlines face route suspensions and fare hikes, while shipping firms see reduced freight volumes. This isn't just about higher costs; shortages are now forcing actual output reductions, amplifying the crisis.

The analysts predict this damage will inevitably spread beyond Asia, threatening global economic growth unless the Straits of Hormuz are reopened soon. The long-term impact could linger even after any conflict resolution.