Highlights
CPI:
- CPI inflation eased to a 3-month low of 5% in September.
- Moderation was largely led by correction in vegetables prices and lower LPG prices.
- Cereals, Pulses and Spices continued to witness double-digit inflation.
- Core inflation fell to the lowest in 3.5 years at 4.6%.
- CPI inflation in Q2 FY24 averaged at 6.4%, in line with the RBI’s estimate.
- Near-term risks to the inflation outlook have worsened due to volatility in global crude oil prices.
- RBI will continue to manage inflationary pressures through its liquidity measures.
IIP:
- IIP growth came at a 14-month high of 10.3% in August.
- Broad-based growth across sectors and a favourable base supported growth.
- Strong performance in infrastructure/construction goods continued with a growth of 14.9%.
- Consumer durables output improved to 5.7% in August after two successive months of contraction.
- Going ahead, domestic consumption remains critical; healthy momentum in infrastructure/construction goods to remain supportive of industrial activity.
