Inflation Pressure

Over a shorter duration of 5-years, the CAGR return from gold was even better at 23.2 per cent as compared to 16.5 per cent for Indian equities and 19.6 per cent for US equities, FundsIndia said.

Ratings firm Crisil said that headline inflation is expected to average 3.5 per cent this fiscal as compared to 4.6 per cent in the last financial year. In its research report for August, the rating agency said that healthy agricultural production is likely to keep food inflation in check. The kharif sowing is up a healthy four per cent year-on-year as of August 8. "We expect headline inflation to average 3.5 per cent this fiscal from 4.6 per cent in the last," Crisil said in its research report. Headline inflation is defined as a rise in prices of all items in the CPI, including food and energy. Assuming geopolitical uncertainties remain under control, Brent crude oil prices are projected to be subdued at USD60 to USD65 per barrel in the current financial year, which should help contain non-food inflation, the report said. Crisil said another bout of repo cut is expected this fiscal. A cumulative cut of 100 basis points so far, along with adequate liquidity, has ensured a swift

With characteristic bravado, Donald Trump has vowed that if voters return him to the White House, inflation will vanish completely". It's a message tailored for Americans who are still exasperated by the jump in consumer prices that began 3 1/2 years ago. Yet most mainstream economists say Trump's policy proposals wouldn't vanquish inflation. They'd make it worse. They warn that his plans to impose huge tariffs on imported goods, deport millions of migrant workers and demand a voice in the Federal Reserve's interest rate policies would likely send prices surging. Sixteen Nobel Prize-winning economists signed a letter in June expressing fear that Trump's proposals would reignite' inflation, which has plummeted since peaking at 9.1 per cent in 2022 and is nearly back to the Fed's 2 per cent target. Last month, the Peterson Institute for International Economics predicted that Trump's policies would drive consumer prices sharply higher two years into his second term. Peterson's analysi

While the September inflation print may see a significant pick-up as base effects turn adverse and food prices register an upturn, food inflation, the RBI said, is expected to ease by Q4:2024-25

Wednesday marked the third consecutive cut, with the bank citing continued easing in broad inflationary pressures

The reading has been consistently above the 50-mark separating expansion from contraction since August 2021

"At some point, as we get more confidence, we will start to normalize policy back to a less restrictive stance, but we don't have to do that in a hurry," Mester said

Recent data have not been helpful, with inflation stalled well above the US central bank's 2% target for the first quarter of the year

Proactive inflation management has helped keep the country's inflation within the manageable range, Finance Minister Nirmala Sitharaman said while presenting the interim Budget on Thursday. She also said that the inflation has moderated. The Reserve Bank of India has been mandated by the government to ensure retail inflation remains at 4 per cent with a margin of 2 per cent on either side. Retail inflation rose at the fastest pace in four months in December 2023 at 5.69 per cent on account of an increase in prices of vegetables, pulses, and spices. The annual inflation based on the Consumer Price Index (CPI) was at 5.55 per cent in November and 5.72 per cent in the year-ago month. As per the data released by the National Statistical Office (NSO), the rate of price rise in the food basket, which constitutes nearly half of the CPI, increased to 9.53 per cent in December 2023 against 8.7 per cent in the preceding month and 4.19 per cent in December 2022. In August 2023, inflation ha

Here is the best of Business Standard's opinion pieces for today

Despite the disinflation progress, officials on both sides of the Atlantic insist they want to see more evidence to be sure that consumer prices are durably under control

China's consumption rebound slowed and private business confidence lost momentum in October, according to independent surveys and alternative data that suggested the economic recovery remains bumpy

The euro hit a fresh 15-year high versus the yen of 162.45

Forecasts for the data, to be released on Monday, were in a 4.47%-5.55% range

Higher US inflation can increase currency volatility

Georgieva said inflation could remain higher for longer, requiring even more monetary policy tightening.

Core inflation, which excludes volatile food and energy costs, slowed to 0.4 per cent from 0.6 per cent

UK companies are the biggest issuers of inflation-linked debt in the developed world, with more than £40 billion ($51 billion) worth of the securities currently outstanding

Inflation keeps breaking records in Sweden, with the CPIF (Consumer Price Index with fixed interest rate) 12-month inflation hitting 9.7 per cent in September, the highest level in three decades

If RBI increases the repo rate, the cost of borrowing by banks also rises, which subsequently makes taking loans from banks costlier