October WPI seen at -3.82 percent versus -4.54 percent for the month of September. The core inflation is seen at -1.87 percent versus -1.93 percent for September.
The wholesale price index (WPI) for the month of October is expected to decline (-) 3.8 percent this month, compared to a decline of negative 4.4 percent on a month-on-month (MoM) basis. The contraction is expected to come down on a MoM.
The core inflation number is also expected to contract, but will remain in the negative zone. It is expected a decline of around 1.87 percent versus 1.93 percent.
The build-up in inflation rate so far this year has been around 0.28 percent and compare this to 2.61 percent on a year on year (YoY) basis. The decline is 3.5 percent to a decline of 4 percent.
As per the estimates, lesser contraction is expected in all numbers in comparison to the previous month. They will still be in negative zone, but the contraction will be lesser.
The quarter-on-quarter (Q-o-Q) pick-up or the MoM pick-up is likely to be led by fuel as well as food inflation. Pulses rose over 40 percent, which is possibly is going to weigh to some effect on the WPI data as well.
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First Published on Nov 16, 2015 08:16 am