India's Wholesale Price Inflation Eases Unexpectedly

India's wholesale inflation cools to 2.6% YoY in September led by food

"The correction in vegetable prices was the chief driver of the decline in primary food inflation to 2% from 5.8%". Inflation in egg, meat and fish segment stood at 5.47 percent for the month of September, while the rate in manufactured products witnessed a slight increase to 2.72 percent, against 2.45 percent in August.

Inflation in vegetable prices cooled to 15.48 per cent in September, as against a high of 44.91 per cent in the previous month.

India's wholesale price inflation eased unexpectedly in September, after accelerating in the previous two months, data from the Ministry of Commerce & Industry showed Monday.

The crude oil and natural gas segment in the primary articles category saw prices contracting 11.5% in September and August, compared with a contraction of 10.8% in July. The wholesale inflation rate was at 1.36 per cent during September 2016. Nayar said that core inflation, which excludes food and energy prices, rose to a 35-month high of 2.8% in September from 2.6% in August. Onion prices, however, continued to rule high with 79.78 per cent increase in September. However, the price of manufacture of knitted and crocheted apparel declined by 1 per cent.

Prices of some manufactured items such as basic metals and semi-finished steel, however, inched up in September compared to August.

Wholesale price index (WPI) inflation was recorded at 1.36% in September a year ago.

Industry body Assocham said the September rise in WPI, as compared to the same month previous year, is in line with expectations based on marginal rise in demand, increase in crude and commodity prices, as well as improved macro-economic parameters of global growth.

"In the recently announced monetary policy review, the opportunity was lost as far moderation of interest rate is concerned, however, given the moderation in both CPI and WPI inflation, the RBI should resume the rate easing cycle in its next monetary policy announcement to give a fillip to demand, " Chandrajit Banerjee, Director General of CII said.

Data released earlier this week showed retail inflation at 3.28 per cent in September, unchanged from August, even as vegetable and cereal prices softened.

Related News:

  • Actress Alyssa Milano Sparks 'Me Too' Sexual Harassment Awareness Campaign

    Actress Alyssa Milano Sparks 'Me Too' Sexual Harassment Awareness Campaign

    Some pointed out that for all the women posting " me too ", there are still thousands who likely would not post for many reasons. He ripped my shirt. "Your story is valid whether you share it or not". "By my mom's then boyfriend", one tweet said. " Me, too .
    Wildfires kill at least 39 in Portugal and Spain

    Wildfires kill at least 39 in Portugal and Spain

    A spokeswoman for Portugal's civil protection agency said of the 145 separate fires being fought, 32 were serious. The situation was still "critical" because of unseasonably high temperatures.
    Jets fall to Patriots after controversial replay call

    Jets fall to Patriots after controversial replay call

    Tom Brady finds Rob Gronkowski across the middle for a 33-yard touchdown as the Patriots take a 21-14 lead over the Jets. Brady hit wide receiver Brandin Cooks with a ideal pass down the sideline and over Morris Claiborne for a 42-yard gain.
  • Top Marawi siege leaders killed in clashes

    Top Marawi siege leaders killed in clashes

    On Sept. 21, Duterte said that he would lift the martial law once the Marawi conflict is over and cleared of militants. A total of 824 Maute terrorists, 167 soldiers, and 47 civilians have been killed in nearly five months of gunbatlles.
    Gas Prices Falling Across Florida in Aftermath of Hurricanes Harvey, Irma

    Gas Prices Falling Across Florida in Aftermath of Hurricanes Harvey, Irma

    AAA Northeast found in its weekly survey released Monday that the price of self-serve, regular is averaging $2.51 per gallon. Price volatility has been felt across the country, beyond states directly impacted by the storms.

    COLA HBC (CCHGY) Downgraded by Jefferies Group LLC to Hold

    The Kentucky-based Central Natl Bank Co has invested 0.18% in The Coca-Cola Co (NYSE:KO). 85,472 are held by Asset Mgmt One Ltd. It is positive, as 10 investors sold AKBA shares while 22 reduced holdings. 38 funds opened positions while 34 raised stakes.
  • Released from Taliban in prisoner exchange, Bowe Bergdahl pleads guilty to desertion

    Released from Taliban in prisoner exchange, Bowe Bergdahl pleads guilty to desertion

    A judge said Bergdhal's maximum possible punishment would be life in prison, but he has not been sentenced yet. US Army Sergeant Bowe Bergdahl is pictured in this undated handout photo provided by the US Army.
    Resident Evil 7's Free Chris Redfield DLC is Finally Out in December

    Resident Evil 7's Free Chris Redfield DLC is Finally Out in December

    She wanders the forest alone before the virus takes her over completely and becomes some kind of grey crystal-like substance. The second scenario is End of Zoe , and it stars a man named Joe, who Capcom call "a myserious outdoorsman".
    Sharapova wins Tianjin Open title

    Sharapova wins Tianjin Open title

    Maria Sharapova won the Tianjin Open on Sunday winning her first tournament since her return for a drug ban. The 30-year-old, ranked 86 in the world, was granted a wildcard for Tianjin because her ranking was too low.
  • Cleverley's injury-time goal gives Watford win over Arsenal

    Cleverley's injury-time goal gives Watford win over Arsenal

    I am a bit torn here to be honest, because like most Arsenal fans I think we do lack fight at times. "If you want to come into my world and do that, you can do that".
    Watch Kellyanne Conway's Kellywise Eat Up Attention on 'SNL'

    Watch Kellyanne Conway's Kellywise Eat Up Attention on 'SNL'

    After McKinnon won an Emmy for her work on SNL , Conway commented: 'I am so happy Kate McKinnon was able to get her Emmy. I know she thanked Hillary Clinton , but it had to be much more fun to play me'.
    Rescued Canadian-American family leaves Pakistan

    Rescued Canadian-American family leaves Pakistan

    But Mr Boyle confirmed Najaeshi's two-year-old brother Dhakwoen Noah was finding it harder to adjust to his new home. Another U.S. official said Boyle was nervous about being in "custody" given his family ties.


Most liked

Here's Why Khloe Kardashian Gave Kourtney Kardashian A Butt Massage On 'KUWTK'
Kim Kardashian's insecurities about her body got so bad at one point that she contemplated staying home to avoid being looked at. Referring the media scrutiny she said that it's a "full phobia - I freak out about everything".

Hackers exploit security KRACK in wifi - and no device is safe
However, the weakness is now so pervasive that Vanhoef said everyone should assume all their devices are affected and vulnerable. Even if you don't know any of the content, a sufficient volume of English text would be enough to break the encryption.

Supreme Court won't take case of alleged USS Cole mastermind
The case hinges on whether a USA warrant can compel American companies to turn over data stored on servers outside the United States. "This would create chaos".

Switzerland, Italy, Croatia, Denmark seeded for World Cup play-offs
The men's national team, which qualified for the 2018 FIFA World Cup last month, started 2017 as the world's 37th-ranked team. The eight teams qualified for the play-offs are will be divided into two pots.