- Market ends with marginal cuts this week; FMCG gains, Consumer Durables decline—What should investors do on Monday?
- Investors with short term view must book profits now; import duty hike, rupee weakness may arrest price correction, temporarily
- Virtual Digital Assets: VDAs to attract 1% TDS from today; know what CBDT says about new norms
- Maruti Suzuki, Ashok Leyland: What makes brokerages bullish on these auto stocks?
- Monsoon session of Parliament to begin on July 18; to end on August 12
CPI: Retail Inflation eases to 2.05% in Jan 2019; food, vegetables, fruits prices remain in deflation
The downward trend in CPI, is due to food inflation which has further widened its negative trend.
In a major surprising development, the Consumer Price Index (CPI) or retail inflation has further eased down to 2.05% in latest January 2019 month. This is way lower compared to 2.11% recorded in December 2018 and 5.07% a year ago same month. The downward trend in CPI, is due to food inflation which has further widened its negative trend.
The Consumer Food Price Index (CFPI) is at -2.99% in January 2019 versus -2.65% in December 2018. CFPI was at 4.07% in January last year.
This month, eggs, vegetables, fruits saw deflation of -2.44%,-13.32% and -4.18%. With this, the index food and beverages posted -1.29% inflation rate.
Other indicators like clothing & footware, housing, fuel & light and miscellaneous (involving Education, Personal care, tranport, healt, etc) recorded inflation rate of 2,95%, 5.20%, 2.20% and 2.05% respectively.
In February 2019 policy, RBI has revised inflation target downward going forwarrd, with 2.8% in Q4:2018-19, 3.2-3.4% in H1:2019-20 and 3.9% in Q3:2019-20, with risks broadly balanced around the central trajectory.
CPI Inflation in January 2019, was lower than economist expectations. Nirmal Bang had predicted inflation numbers to come in at 2.43% YoY, although it was seen to edge up from 2.19% earlier. Food and beverage inflation were also expected to remain muted, declining 0.6% YoY, after a 1.5% decline in the previous month.
Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.