A prolonged conflict will impact economic momentum, worsening the growth-inflation dynamics. The macroeconomic situation calls for deft and delicate management. 3 min read May 6, 2026 06:15 AM IST First published on: May 6, 2026 at 06:15 AM IST The Indian rupee continues to weaken. On Tuesday, it hovered around 95.36 against the dollar during early trading. Since the beginning of this year, the currency has fallen by around 5.64 per cent. Sentiment continues to be weighed down by the conflict in West Asia, with fresh attacks rattling investors. But the pressure on the Indian currency predates the Iran war. Last year, the rupee fell by roughly 5 per cent against the dollar. The problem is on both the current and capital accounts. Global crude oil prices remain elevated due to energy market dislocations, exerting pressure on the current account. Brent crude is currently around $113 per barrel.…