India's headline retail inflation rate was at 6.44 percent in February, which is lower than January's three-month high of 6.52 percent but above the RBI’s medium-term target of 4 percent
The slight drop in retail inflation offers only a temporary relief, say economists
Analysts said that volatility might continue amid slew of announcements of macroeconomic data at the global level too.
Easing prices of some food items helped headline retail inflation to dip to a three-month low. Moneycontrol's Sakshi Batra does a 3-Point Analysis to find out if this will prompt the RBI to look at easing interest rates.
Reconciling to a drawn out COVID-19 infection curve is realistic. This will not disperse the policy fog or lessen macro risks of inflation and fiscal overextension. However, it helps recognise the imminence of more income support for poorer populations
India's retail inflation rose to near six-year high of 7.59 percent in January, up from 7.35 percent in the previous month.
ICRA has come out with its comments on CPI inflation data. As per the research firm the RBI may leave the repo rate unchanged in the mid-quarter policy review in March 2012.