Mumbai blasts: Angry residents demand answers on security(VIDEO)

"Ammonium nitrate was used in this blast as with previous blasts in Jaipur and Delhi, both of which the IM claimed responsibility for," Mr. Ramana points out.

Not only does the Indian Mujahideen have experience with similar attacks, it has motive, according to Ramana. In 2002 inter-religious riots in the northwestern state of Gujarat, around 2,000 Muslims were killed by militant Hindus. The group has indicated it seeks revenge for that.

Zaveri Bazaar is full of Gujarati diamond traders, and local media reports say yesterday's bomb there had been placed between two shops owned by Gujaratis – one Hindu, one Muslim. Though it's not clear how many of those injured in the blasts were Hindu and how many were Muslim, Ramana says the focus would have been on attacking Gujarat, so thought was likely given most to placing the bomb in an area densely populated with Gujaratis.

"Terrorists don't look in terms of mitigating the Muslim death toll, they want to make a statement about attacking Gujarat," he says.

The Indian Mujahideen suffered a number of setbacks following their last attack, in Delhi in 2008. "They're not taking responsibility this time, so they don't fall into the trap of being easily identified. For the time being, they want to lie low," says Ramana, who believes this bombing was an indicator of a comeback.

What about Pakistan?

The possibility that the blasts were intended to derail talks between India and Pakistan later this month has been floated in the media repeatedly, but officials have avoided acknowledging any suspicions they may have of a connection. The Indian government has confirmed the talks will still go ahead, as will US Secretary of State Hilary Clinton’s visit to India next week.

Mumbai, one of the world's most densely populated cities, has a history of deadly bombings. In November 2008, Pakistani-trained militants attacked two hotels, the main railway station and a Jewish center, killing 166 people.

In 2006, coordinated blasts on suburban trains killed 209 people. And three years earlier a bomb near the Gateway of India killed 52.

US President Obama and UN Secretary General Ban Ki-moon both condemned the attacks, while Pakistan's leaders released a statement offering expressing their sympathies.

"We don't want to live in a flawed city, in this constant state of anxiety," says Ms. Rebello of Mumbai. "We will have to get on with our lives. That doesn't mean we have to be less wary. It's not a healthy way to live."

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