India First Edition

India, Inflation and Monsoon Monitor

Inflation : +12.42% YoY: Inflation, as measured by the WPI, rose to 12.42% for the week ending 16h  August vs. 12.63% in the previous week and 3.99% a year ago. Looking at the components, primary articles were up 11.63%; manufactured products were up 11.02%, and the fuel price index rose 16.76%.

Monsoon Monitor: Trends during the week ended 27th August fell to 39% below normal.  On a cumulative basis, from 1 June – 27th August, the rainfall was 1% below normal.  Rainfall trends are concerning, and raise the probability of agriculture growth coming in at sub 3%.