India's industrial production registered a modest 2.7 percent year-on-year growth in April 2025, marking a weak start to FY26 despite outperforming expectations, given the core sector's dismal 0.5 percent expansion. The sluggish performance reflects deeper structural challenges in the manufacturing sector, particularly in consumer goods production
Is the level of consumer staples production really lower than that four years ago, as the IIP data shows?
“Retail inflation is just about near the RBI target of four percent while manufacturing is clearly showing an uptick as per the latest data. The Indian economy is on a steady move even in the midst of global challenges,” said ASSOCHAM Secretary General Deepak Sood.
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The IIP index fell 15.7 percent in June and had contracted 10.4 percent in July 2020.
In this episode of Big Story, Moneycontrol's Sakshi Batra decodes what led to the sharp uptick in the industrial output.
Moneycontrol’s Deputy Executive Editor Ravi Krishnan tells Shraddha Sharma that inflation is getting broad-based, which is a serious cause of concern for economic growth.
CNBC-TV18 Consulting Editor Udayan Mukherjee digs deeper into whether or not the market will be able climb higher from current levels in the face of a struggling economy.
India's gross domestic product (GDP) grew 5.8 percent in January-March, official data released on May 31 showed, confirming fears of a slowdown. The growth in GDP was slowest since 2014-15.
The finance ministry in its Monthly Economic Report for March released earlier this month said the slowdown in economic activity in 2018-19 is because of declining growth of private consumption, tepid increase in fixed investment, and muted exports.
A look at top cues from the domestic and international markets that could have a bearing on D-Street today.
Inflation numbers, progress of monsoon rains and key global developments, including the US Fed meeting, will lay the pitch for the stock market movement this week, say analysts.
Motilal Oswal has come out with its report on Cement sector. The research firm has estimated cement prices to improve by ~INR13/20/20 per bag in FY15/16/17. In large-caps Emkay has preferred ACC, UltraTech and Shree Cement, whereas in mid-caps preferred Dalmia Bharat, JK Cement and JK Lakshmi Cement.
Citi is maintaining its view of an extended pause on policy rates. They believe that IIP is likely to see improving trends and that headline CPI could remain elevated in the near term.
Experts believe investors will remain cautious ahead of RBI monetary policy and Federal Reserve meeting next week. They continue to expect rangebound movement with a negative bias till these events take place.
IIP: The output of consumption-oriented industries is expected to pick-up in the second half of 2013-14 due to higher rural incomes, on the back of a good monsoon and consequent high agricultural production, says CRISIL Research.
Economists and market experts believe that the sharp fall in the IIP data was on the back of correction in the capital goods data. However, they expect a revival in the second half of the year.
Experts feel the market may go upto 6100-6200 on the Nifty in near term, tracking current environment and then may see a correction. Overall it may remain rangebound till elections in 2014, experts add.
Reliance Industries, chairman Mukesh Ambani at the Giants International 41st anniversary celebrations, said that India needs a positive and inclusive mindset. He expressed confidence that despite all the negativity India will become a major power.
Despite a surprising IIP jumping to 2.6 percent, Leif Eskesen is not very hopeful of a revival in the economy. He feels that low domestic demand is a cause of worry for India.
Industrial GDP is likely to have grown at less than 0.5% in the first quarter of this fiscal. Even if one accounts for a normal monsoon and relatively resilient service sector, first quarter GDP growth is almost certain to be below 5.0% cent in 2013-14, says CRISIL Research.
The economy is already turning, and there could be more interest rate cuts to come, feels Saurabh Mukherjea, head of equities at Ambit Capital. He does not expect the Nifty to fall below 5500, which has been a strong support level for the past 5-6 years.
According to a report by Sharekhan, the opening of the Dalal Street is going to be on a positive note led by positive Asian cues. SGX Nifty is also trading 18.50 points higher. Investors may remain cautious ahead of major economic events like IIP data which may give direction to the markets.
CRISIL Research has come out with its report on IIP data for September 2012. According to the research firm, Industrial weakness therefore is expected to continue in the near term and industrial output growth in 2012-13 appears to be heading towards a performance which will be even worse than the last fiscal.
Robert Prior-Wandesforde, economist, India and Southeast Asia, Credit Suisse explains to CNBC-TV18 that he expects the IIP data to reveal an upside surprise and estimates that Consumer Price Inflation will fall and that will induce the RBI to cut rates in January.