Producer Prices in India
India - Producer Prices
Inflation accelerates modestly in September
In September, consumer prices fell 0.07% from the previous month, contrasting the 0.43% rise recorded in August. Lower prices were due to cheaper food and beverages. However, moderating the overall price decrease in September were higher prices for fuel and light; housing; clothing and footwear; and pan, tobacco and intoxicants.
Inflation appeared to shrug off the effects of a weakening rupee and higher oil prices in September, as the headline reading modestly rose to 3.8% from 3.7% in August, which was below market analysts’ expectations of 4.0%. This was because prices for food and beverages rose at a very slow pace, masking faster increases for fuel and light; housing; pan, tobacco and intoxicants; and clothing and footwear. Core inflation, which excludes food and energy products, moderated to 5.8% in September from 6.0% in August.
In September, the WPI rose 0.7% from the prior month, up from the revised 0.1% increase in August (previously reported: +0.3% month-on-month). Wholesale price inflation accelerated to 5.1% in September from 4.5% in August. Higher prices for fuel and light stoked inflation in September, coupled with more expensive manufactured products. Meanwhile, prices for primary articles increased at a modest pace. Annual average wholesale inflation accelerated to 4.1% in September from 3.9% in August.
India Inflation Forecast
Met the why particular Consensus Forecast panelists expect consumer price inflation to average 4.7% in FY 2018, which is down 0.2 percentage points from last month’s forecast. In FY 2019, the panel expects consumer price inflation to average 4.7%. Meanwhile, our panel projects wholesale inflation of 4.2% for FY 2018, up 0.2 percentage points from last month’s report. In FY 2019, our panel foresees wholesale inflation averaging 4.1%.
India - Producer Prices Data
|Inflation (PPI, annual variation in %)||5.2||1.3||-3.6||1.8||2.9|
5 years of economic forecasts for more than 30 economic indicators.
|Bond Yield||7.76||-0.04 %||Nov 15|
|Exchange Rate||71.91||-0.09 %||Nov 15|
|Stock Market||35,261||-0.08 %||Nov 15|
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India: The private sector grows in October, although companies turn less optimistic about the future
November 5, 2018
The composite Purchasing Managers’ Index (PMI) produced by Nikkei and IHS Market rose to 53.0 in October from 51.6 in September.
October 15, 2018
In September, consumer prices fell 0.07% from the previous month, contrasting the 0.43% rise recorded in August.
October 12, 2018
Annual industrial production increased 4.3% in August, down from July’s revised 6.5% (previously reported: +6.6% year-on-year) but above market analysts’ expectations of 3.8% growth. There was a mixed performance across industrial sectors in August.
October 5, 2018
At its monetary policy meeting on 3–5 October, five out of the six members of the Reserve Bank of India’s (RBI) Monetary Policy Committee (MPC) voted to keep interest rates unchanged.
October 4, 2018
The composite Purchasing Manager’s Index (PMI), produced by Nikkei and IHS Market, fell to 51.6 in September from 51.9 in August, but remained above the 50-point threshold that separates expansion from contraction in the private sector.