Page 16 - Inflation

Central banks have work to do on price stability and inflation targeting

The consumer price index (CPI) has extensive relevance in people's daily lives. Periodic review of CPI composition and weights assigned will keep it robust and relevant

Give retirees the choice of variable annuities to hedge against inflation

Truth be told, the government can also benefit from a successful variable PPP. If private-sector employees adopt it, government employees could follow

RBI Guv lauds Budget, says Rs 1 trn tax relief will not impact inflation

New Reserve Bank Governor Sanjay Malhotra on Friday lauded the Union Budget for FY26 as "excellent", which will help in economic growth as well as in the central bank's core objective of curtailing inflation. Malhotra, a career bureaucrat who took over as the Governor of RBI in December, also said that the Rs 1 lakh crore of tax relief given to the middle class to spur consumption will not have any major impact on inflation. "Overall, it is an excellent budget both from a growth perspective as well as from an inflation perspective," Malhotra told reporters hours after announcing a 0.25 per cent repo rate cut, the first such move by the RBI in five years. He said the government has curtailed the fiscal deficit at 4.4 per cent, which is better than the 4.5 per cent under the earlier announced fiscal glide path. Malhotra said the proposals on vegetables, fruits and pulses through dedicated programmes will help curb inflation in the medium to long term. He explained that about 46 per

RBI MPC cuts repo rate by 25 bps to 6.25%, continues with 'neutral' stance

In its December 2024 Monetary Policy Committee meeting, the RBI kept the repo rate unchanged at 6.5 per cent for the eleventh consecutive meeting

Homemade meals get dearer in Jan, non-veg thali pinches more: Crisil report

The cost of a homemade meal rose in January year-on-year due to a hike in the prices of potatoes, pulses and chicken, a report said on Thursday. A jump in the chicken prices led to a more pronounced jump in the non-vegetarian thali, the monthly roti, rice rate report by a unit of ratings agency Crisil said. The cost of a vegetarian meal increased to Rs 28.7 per plate from Rs 28 per plate in the year-ago period, on a 35 per cent growth in potato, 7 per cent in pulses and 17 per cent in vegetable oils, it said, adding that an 11 per cent drop in fuel costs helped temper the impact. When compared with the preceding month, the cost of a veg thali cooled from Rs 31.6 per plate on a 34 per cent fall in tomato prices, 16 per cent decline in potato and 21 per cent in onion prices, it said. In the case of non-veg thali, the cost of preparing a plate went up to Rs 60.6 each from Rs 52 a year ago on a 33 per cent jump in broiler, which accounts for 50 per cent weight in the overall price, it

World inflation at risk of rekindling with Donald Trump's trade war

In the US, a resilient labor market is keeping the Federal Reserve on alert as Trump's policies and threats drive bond yields higher

Budget non-inflationary, focuses on fiscal prudence: Finance secy Pandey

Finance Secretary Tuhin Kanta Pandey on Tuesday said the government has taken measures to lower fiscal deficit and delivered a non-inflationary Budget, and hoped that the RBI's monetary policy will work in tandem with fiscal policy to support growth. He also said that although rupee depreciation increases inflation on imported inputs, it also adds to export competitiveness. Pandey said that the government has bettered its fiscal deficit projections for the current fiscal as well as the next. The fiscal deficit for FY'25 has been pegged lower at 4.8 per cent of GDP, lower than budgeted 4.9 per cent, while for FY'26 the deficit is projected to be 4.4 per cent, lower than what was given in the consolidation roadmap. "It is very important to be very clear that we (government) have to remain within a certain fiscal regime. We have, to that extent, aided the monetary authorities to say that if they (RBI) have to do what they have to do, we are supportive. The fiscal policy and monetary ..

UK grocery inflation slows to 3.3% in January, sales rise 4.3%: Kantar

Supermarkets stepped up promotions in January, Tesco gains most market share in 12 weeks to Jan 26

Imported commodity price fall offers relief for inflation outlook: Survey

Among precious metals, gold prices are expected to decrease, while silver prices are forecast to rise

Tata Consumer share up 5% despite muted Q3; tea inflation worries analysts

Analysts observed that Tata Consumer Products faced margin pressures primarily due to inflationary tea prices but continued to post robust volume growth across its beverage and food segments

ECB cuts interest rates, keeps door open for further policy easing

It was the fifth ECB rate cut since June and markets expect two or three more this year, driven by arguments that the biggest inflation surge in generations is nearly defeated

Taming inflation: How Union Budget can address economic challenges

By easing supply-side constraints and using counter-inflationary tariff policy, the finance ministry can ensure prices remain in check

Echoes of the 1980s: Inflation, wars, and slowing growth resurface globally

The decade was also marked by the so-called "Star Wars". This was an American effort to bankrupt the USSR by pretending to develop space-based weapons

Will maintain 6-8% economic growth, inflation under check: Vaishnaw

India will comfortably maintain a 6-8 per cent economic growth rate while keeping inflation under check in the years to come, senior Union Minister Ashwini Vaishnaw said on Thursday. Speaking at a session during the World Economic Forum Annual Meeting here, the minister said inclusive growth remains a key pillar of the country's economic blueprint, alongside continued focus on manufacturing, services and simplification of laws. Inclusive growth has been a key reason for Prime Minister Narendra Modi coming back for a third term as he ensured that the benefits of the economic growth reached every section of society, the minister for railways, information and broadcasting, and electronics and information technology said. Vaishnaw said the talent available in India is unmatched across sectors and the world today trusts India because of its policies. Companies are shifting their factories and value chains to India, he added. Speaking at the same session, industrialist Sanjiv Bajaj said

Retail inflation for farm, rural workers drops to 5.01% and 5.05% in Dec

Retail inflation for farm and rural workers eased to 5.01 per cent and 5.05 per cent in December from 5.35 per cent and 5.47 per cent, respectively, in November 2024. The All-India Consumer Price Index for Agricultural Labourers (CPI-AL) and Rural Labourers (CPI-RL) remained unchanged for December 2024 at 1,320 and 1,331 points, respectively, a labour ministry statement said. According to the statement, the CPI-AL and CPI-RL were 1320 points and 1331 points, respectively, in November 2024. The year-on-year inflation rates based on CPI-AL and CPI-RL for December 2024 were recorded at 5.01 per cent and 5.05 per cent, respectively, compared to 7.71 per cent and 7.46 per cent in December 2023, it added. The corresponding figures for November 2024 were 5.35 per cent for CPI-AL and 5.47 per cent for CPI-RL.

2013 redux: Bond yields, inflation, FPI selloffs weigh on Indian markets

The benchmark BSE Sensex declined by 6.5 per cent between January and August 2013, after rising 29 per cent between December 2011 and January 2013

Complex picture: MPC should avoid policy adventurism in uncertain times

The inflation projection of the MPC will ne­ed to factor in such possibilities, which will not be easy, given the level of uncertainty

India's retail inflation eases to 4-month low of 5.2% in December

Rural areas experienced higher food inflation at 8.65 per cent, while urban regions saw a slightly lower rate of 7.9 per cent during the month

Behind the freebies frenzy: India's wage stagnation and rising inequality

The appeal of freebies becomes clear in the backdrop of economic distress, highlighting the financial struggles of the lower middle class and the poor in India

Asian shares fall, dollar near 14-month high as inflation, earnings loom

The impact of the jobs report on US rate cut prospects also raised the stakes for consumer price figures