Page 8 - Inflation

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

Inflation data, Q3 earnings, FII trading to drive mkts this week: Analysts

Investors will take cues from the December quarter corporate earnings, with blue-chips like Infosys, Reliance Industries scheduled to report their results this week, in addition, inflation data and trading activity of foreign investors will also be crucial in dictating market trends, analysts said. Movement of crude oil prices and the dollar index will also be tracked by investors. The strengthening of the US dollar, along with rising US bond yields, impacted investors' confidence last week. "The Indian equity markets are poised for a volatile week ahead, as investors eagerly await the release of Q3 earning reports from major companies. "Prominent names such as Infosys, Reliance Industries, HCL Technologies, HDFC AMC, HDFC Life Insurance Company, and Axis Bank are set to unveil their financial performance, which is likely to significantly impact market sentiment," Pravesh Gour, Senior Technical Analyst, Swastika Investmart Ltd, said. Adding to the market's dynamic, a tug-of-war ...

RBI's new Guv initiates review of inflation, growth forecasting tools

Malhotra, who took charge last month, is asking the RBI's internal teams to include new datasets, analysis and projections in their inflation and growth forecasts

German inflation rises more than expected in Dec on higher food prices

The annual consumer price inflation rate rose to 2.9 per cent, higher than the 2.6 per cent forecast by analysts

Rural poverty ratio fell below 5% in FY24 for the first time: SBI Research

The report notes that this decline in the rural poverty ratio is due to higher consumption growth in the 0-5 per cent decile

Year in review: Energy woes to AI boom, top global economic trends of 2024

From continuing energy market volatility driven by geopolitical tensions to the AI boom transforming industries, economic trends have been anything but predictable

HCES shows some reassuring trends, urging CPI and policy overhaul

Shifting household consumption patterns and evolving priorities call for updates to inflation indices and a rethink of food and subsidy policies in India

ECB likely to delay next rate cut due to recent increase in inflation

Euro zone annual inflation accelerated in November to 2.2 per cent from 2.0 per cent a month earlier and above the ECB's 2 per cent target rate

Turkiye's central bank lowers key interest rate to 47.5%, 1st cut in 2 yrs

Turkiye's central bank lowered its key interest rate by 2.5 percentage points to 47.5 per cent on Thursday, carrying out its first rate cut in nearly two years as it tries to control soaring inflation. Citing slowing inflation, the bank's Monetary Policy Committee said it was reducing its one-week repo rate to 47.5 per cent from the current 50 per cent. The committee said in a statement that the overall inflation trend was flat in November and that indicators suggest it is likely to decline in December. Demand within the country was slowing, helping to reduce inflation, it said. Inflation in Turkey surged in recent years due to declining foreign reserves and President Recep Tayyip Erdogan's unconventional economic policy of lowering rates as a way to tame inflation which he later abandoned. Inflation stood at 47 per cent in November, after having peaked at 85 per cent in late 2022, although independent economists say the real rate is much higher than the official figures. Most ..

Year in Review: How inflation pinched pockets of Indian households in 2024

Indian households grappled with soaring prices in 2024 as inflation strained budgets and reduced purchasing power. High inflation rate cut into savings and curbed discretionary spending of consumers

Banks' average daily reserves fall after FIT framework: RBI report

RBI introduced ASISO facility in August 2020 to offer greater flexibility in managing day-end cash reserve ratio balances

India's small businesses drive jobs growth, wage gains curbed by inflation

The number of small manufacturing businesses, mainly family- owned units such as garment makers, auto component makers and food processing enterprises, grew to 20.15 million

People struggling with rising prices, govt sleeping like Kumbhkaran: Rahul

Leader of Opposition in the Lok Sabha Rahul Gandhi on Tuesday said that the people are struggling with rising prices and are forced to compromise on small things of daily needs while the government is sleeping like 'Kumbhakaran'. Gandhi shared a video on his social media handles on his recent visit to a vegetable market in Giri Nagar here and interaction with housewives who narrated their ordeal due to rising prices of food items. "A few days ago, I went to a local vegetable market and while shopping with customers, I talked to the vendors to know how the budget of the common people is deteriorating and how inflation has troubled everyone," Gandhi said in his post accompanying the video. "People are struggling with rising prices and are forced to compromise on small things of daily needs," the former Congress chief said in his post in Hindi. "We discussed the prices of garlic, peas, mushrooms and other vegetables, and heard the real experiences of the people. How garlic at Rs 400 p

India's economy faces slower growth in 2025, macro risks intensify

In 2025, macro policies will need to support domestic demand, but without compromising on macrofinancial stability risks

Retail inflation for farm workers eases to 5.35%, rural labourers to 5.47%

Retail inflation for farm workers and rural labourers dipped to 5.35 per cent and 5.47 per cent in November compared to 5.96 per cent and 6 per cent, respectively, in October this year. The All-India Consumer Price Index for Agricultural Labourers (CPI-AL) and Rural Labourers (CPI-RL) registered an increase of 5 points each in November 2024, reaching levels of 1,320 and 1,331, respectively, a labour ministry statement said. The CPI-AL and CPI-RL were 1,315 points and 1,326 points, respectively, in October 2024. "The year-on-year inflation rates based on CPI-AL and CPI-RL for the month of November 2024 were recorded at 5.35 per cent and 5.47 per cent, respectively, compared to 7.37 per cent and 7.13 per cent in November 2023. The corresponding figures for October 2024 were 5.96 per cent for CPI-AL and 6.00 per cent for CPI-RL," it stated.

Congress attacks Modi govt over rising food prices, spiraling inflation

The Congress on Monday took a swipe at the Modi government over "rising" prices of food items, saying the bullet train announced by it has not arrived but the inflation, which is spiralling upwards faster than the speed of a bullet train, has broken the back of the common person. Congress general secretary in-charge communications Jairam Ramesh said the people want answers not more "jumlabaazi (rhetoric)". He shared a media report on X which claimed that the rates of daily essential goods are increasing day by day and in the last one year, the prices of flour, oil, spices and dry fruits have increased by one and a half to two times. "The bullet train announced by the Modi government has not arrived, but the inflation, which is spiralling upwards faster than the speed of a bullet train, has broken the back of the common person," Ramesh said in his post in Hindi on X. "Inflation has doubled and tripled in the last ten and a half years. Vegetables, flour, oil, spices and everyday item

Out of sync: Persistent mismatch between MGNREGA wage growth and inflation

Over the past few years, wage growth has consistently trailed both general and food inflation rates, with the exceptions of FY21 and FY24