Wednesday, March 3, 2021
  • About
  • Advertise
  • Careers
Scoftware Magazine
  • Home
  • Politics
  • Business
  • Culture
  • Opinion
  • Lifestyle
  • Entertainment
  • Login
No Result
View All Result
Scoftware Magazine
Home Business

WPI-based inflation rises to 2.03% in January on non-food manufactured items, food prices ease

Jaleel M. by Jaleel M.
February 15, 2021
in Business
0
WPI-based inflation rises to 2.03% in January on non-food manufactured items, food prices ease
0
SHARES
5
VIEWS
Share on FacebookShare on Twitter


ICRA principal economist Aditi Nayar said a deeper disinflation in primary food articles helped to cushion the impact of the sharp rise in core inflation, which reached a 27-month high of 5.1 percent in January

Related posts

Mukesh Ambani climbs to eight spot on Hurun Global Rich List, 40 Indians enter billionaire’s club

Mukesh Ambani climbs to eight spot on Hurun Global Rich List, 40 Indians enter billionaire’s club

March 3, 2021
Sensex reclaims 50,000-benchmark amid hectic buying in IT, auto, FMCG sectors; Nifty ends in green

Sensex reclaims 50,000-benchmark amid hectic buying in IT, auto, FMCG sectors; Nifty ends in green

March 2, 2021

WPI-based inflation rises to 2.03% in January on non-food manufactured items, food prices ease

Representational Image. AFP

New Delhi: The wholesale price-based inflation rose sharply to 2.03 percent in January on costlier non-food manufactured items and experts are projecting further uptick in the rate of price rise in the next few months.

The WPI inflation was 1.22 percent in December, 2020 and 3.52 percent in January last year.

While food articles saw softening in inflation, the sharp rise in the WPI inflation in January was led by manufactured non-food products, fuel and power, and crude petroleum and natural gas, data released by the commerce and industry ministry showed on Monday.

Food inflation in January stood at (-) 2.8 percent, against (-) 1.11 percent in the previous month. In vegetables and potatoes, it was (-) 20.82 percent and 22.04 percent respectively.

Core inflation rose to a 27-month high of 5.1 percent in January 2021.

In non-food articles, inflation was higher at 4.16 percent, while in the fuel and power basket it was (-) 4.78 percent during the month under review.

ICRA principal economist Aditi Nayar said a deeper disinflation in primary food articles helped to cushion the impact of the sharp rise in core inflation.

Rising demand and strengthening pricing power will make core inflation rise further to as much as 7-7.5 percent during April-June quarter, according to ICRA.

“… the headline WPI inflation is set to record large upticks over the course of the next few months. We now expect the WPI inflation to average 5-5.5 per cent in FY2022, unless the available vaccines turn out to be ineffective against new COVID-19 variants, causing commodity prices, consumer confidence and business sentiment to plunge,” Nayar added.

The Reserve Bank of India (RBI) in its monetary policy decision on 5 February, kept interest rates unchanged for the fourth consecutive meeting and said that the outlook for core inflation is influenced by the escalation in cost-push pressures seen in recent months.

Petroleum product prices have reached historic highs as international crude prices surged in recent months and the high indirect taxes remain, both in the Centre and States. These, along with the sharp increase in industrial raw material prices have resulted in a broad-based increase in prices of services and manufacturing products in recent months.

“Going forward, concerted policy action by both Centre and States, is critical to ensure that the ongoing cost build-up does not escalate further,” the RBI had said.

Data released last week showed retail inflation, based on the consumer price index, was at 4.06 percent in January. “We expect the CPI inflation to have bottomed out in January 2021, with large upticks expected in the next two prints. This, combined with the anticipated hardening in the core-WPI inflation, reaffirms our view that there is no room for further rate cuts in this cycle,” Nayar added.

Subscribe to Moneycontrol Pro at ₹499 for the first year. Use code PRO499. Limited period offer. *T&C apply



Source link

Previous Post

Asian markets extend rally amid falling COVID-19 cases; oil prices surge on hopes of rising demand

Next Post

RailTel IPO opens for subscription; share allocation likely to be finalised by 23 February

Next Post
RailTel IPO opens for subscription; share allocation likely to be finalised by 23 February

RailTel IPO opens for subscription; share allocation likely to be finalised by 23 February

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

RECOMMENDED NEWS

Nicky Romero Debuts Deep Progressive Alias Monocule with Inaugural EP

Nicky Romero Debuts Deep Progressive Alias Monocule with Inaugural EP

6 months ago
England vs West Indies: Ben Stokes Ready For “Massive” Return Of International Cricket

England vs West Indies: Ben Stokes Ready For “Massive” Return Of International Cricket

8 months ago
Zinedine Zidane A “Blessing From Heaven”, Says Real Madrid President Florentino Perez

Zinedine Zidane A “Blessing From Heaven”, Says Real Madrid President Florentino Perez

8 months ago
Where Julianne Hough and Brooks Laich Really Stand After Their Reunion

Where Julianne Hough and Brooks Laich Really Stand After Their Reunion

7 months ago

FOLLOW US

  • 81 Followers
  • 29.5k Followers
  • 108k Subscribers

BROWSE BY CATEGORIES

  • Business
  • Culture
  • Entertainment
  • Lifestyle
  • Music
  • National
  • News
  • Opinion
  • Politics
  • Sports
  • Tech
  • Travel
  • World News

BROWSE BY TOPICS

2018 League Balinese Culture Bali United Budget Travel Champions League Chopper Bike Doctor Terawan Istana Negara Market Stories National Exam Visit Bali

POPULAR NEWS

  • Kris Jenner Spills Details About Her Sex Life With Corey Gamble: Watch

    Kris Jenner Spills Details About Her Sex Life With Corey Gamble: Watch

    0 shares
    Share 0 Tweet 0
  • Common Saints Release New Single “Idol Eyes”

    0 shares
    Share 0 Tweet 0
  • Sam Heughan & Graham McTavish Are Men in Kilts for Travel Show

    0 shares
    Share 0 Tweet 0
  • KRISTIN LASH & JAKOB GREY Team Up On “Sleeping With The Lights On”

    0 shares
    Share 0 Tweet 0
  • A Blackhat Hacker Durgesh Singh Kushwah Tells Us All!

    0 shares
    Share 0 Tweet 0
  • About
  • Advertise
  • Careers

© 2020 Scoftware.com

No Result
View All Result
  • Home
  • Politics
  • Business
  • Culture
  • National
  • Sports
  • Lifestyle
  • Travel
  • Opinion

© 2020 Scoftware.com

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In

Terms and Conditions - Privacy Policy