New Delhi, April 6 -- Sustained oil prices above $100 a barrel due to a protracted West Asia war, coupled with supply disruptions, could impact corporate earnings and even domestic flows, which have so far absorbed foreign portfolio investor outflows, according to Sachin Bajaj, executive vice-president and chief investment officer at Axis Max Life Insurance.

However, a quick resolution, without further damage to energy infrastructure in the region, could result in a V-shaped recovery in markets, said Bajaj.

Equity markets, both global and domestic, have corrected due to the ongoing war, with the Nifty50 down by over 10% in the past month, a similar story for mid- and small-cap indices. Many of the high-beta names have corrected meaningf...