Kharif arrivals likely to dampen food prices, but downside limited

CPI-inflation for the month of September surged to a five-month high of 7.4 per cent largely due to a spike in food inflation which jumped to a 22-month high of 8.6 per cent for the same period

As the country enters a busy festival season, all eyes will be on how food prices behave in the coming weeks - even months.

Consumer Price Index-based inflation for the month of September surged to a five-month high of 7.4 per cent, largely due to a spike in food inflation that jumped to a 22-month high of 8.6 per cent for the same period.

As the arrival of kharif crops peaks in the weeks ahead, traders and market players are hopeful that prices of main commodities will soften. But the downside could be limited mainly in cereals due to low