New Delhi, March 21 -- A widening conflict in the Middle East could trigger a fresh wave of global inflation if it spreads across supply chains, asset classes and jurisdictions, though India may remain relatively insulated compared with many economies, according to a report by SBI Research.

The report cautioned that escalating geopolitical tensions could create ripple effects across energy markets, trade and financial systems globally.

"Should the raging conflict in Middle East proliferate asymmetrically across jurisdictions, asset classes and supply chains, the cumulative shock could trigger a new wave of inflation globally: India still a notable exception," the report said.

The report added that while the immediate economic impact ma...