New Delhi, March 14 -- The headlines this week were again dominated by the Iran war, which has now entered its second week. It is difficult to ignore, given the scale of its potential impact on the global economy.

"The war in the Middle East is creating the largest supply disruption in the history of the global oil market," the Paris-based International Energy Agency (IEA) said in its much-anticipated monthly report on Thursday.

According to the agency, global supplies have plunged by 8 million barrels a day to 98.8 million barrels a day.

Iran's interruption of oil flows through the Strait of Hormuz-through which roughly one-fifth of the world's oil passes-has created uncertainty for many countries, including India.

What was predicted...