Coconut oil, tomatoes, and umbrellas: What drove inflation in June despite a 6-year low

India's retail inflation may have eased to a 77-month low of 2.1 percent in June, but for many consumers, the pinch was still real. A Moneycontrol analysis shows that 40 percent of the items in the consumer price index (CPI) witnessed a faster month-on-month price rise than in May.

Among these, one-third saw prices surge over 1 percent, and nearly 17 percent of the items posted a sequential increase of over 2 percent.

Among the top among contributors was tomatoes, following the historical trajectory, with prices rising 37.8 percent in June, up sharply from 12.7 percent in May.

Coconut oil followed with an 11.3 percent price spike (vs 6.7 percent in May). Other food items like potatoes (5.1 percent)and onions (2 percent) also saw notable hikes.

Beyond food, services inflation reached a 23-month high of 4.13 percent, up from 4.01 percent in May. Tuition fees were up 1.2 percent, school transport charges rose 1.9 percent, and maintenance charges increased 1.7 percent.

In the core goods category, gold, silver, and ornaments rose more than 2 percent, and umbrella/raincoat prices increased 1.2 percent—likely driven by the monsoon season.