India's economic recovery holds steady as Ukraine war clouds outlook

India’s services and manufacturing activity held steady in February, even as the war in Ukraine clouds the outlook for prices and growth in the consumption-driven economy.

All eight high-frequency indicators compiled by Bloomberg News showed activity was steady last month, with the needle on a dial measuring so-called ‘Animal Spirits’ staying put at 5 for the eighth straight month. The gauge uses the three-month weighted average to smooth out volatility in the single-month readings.

The reading, which comes ahead of the central bank’s monetary policy decision early next month, doesn’t capture the plethora of risks looming over the economy thanks