New Delhi, April 27 -- The jagged path of India's stock market attests to how shaky the mood of investors is. Although the Sensex is up 6.6% in April (while the Nifty-50 index rose 7%) after its 12% tumble in war-stricken March (the Nifty-50 slid more than 11%), last week ended on a glum note.

A tentative truce in West Asia may have mostly silenced the blasts of war, but the lifting smoke revealed a double choke of Hormuz, with even Iran's oil trapped, like the exports of other Gulf countries.

As this US-Iran deadlock is proving harder to break than a level-headed analysis of it would suggest, the war's impact on India's economy might still be gaining in intensity.

The financial blow of an inflated oil-import bill can be absorbed by th...