New Delhi, April 4 -- India's equity markets could see a limited earnings impact if the ongoing West Asia conflict ends within the next few weeks, while the recent correction in stock prices has improved the reward-risk balance for investors, according to a report by Kotak Institutional Equities.

The report noted that geopolitical developments, particularly signals from the United States regarding the Iran-Israel conflict, have raised hopes of easing tensions and stabilising energy supplies.

"The recent comments of the POTUS raise hopes about (1) an end to the ongoing Iran-Israel/US war and (2) normalisation of crude oil and gas supplies over the next few months, thereby limiting the damage to the Indian economy and market earnings," th...