Analysts at TD Securities are expecting India’s headline CPI to rise by 0.64% m/m, 3.05% y/y, largely due to higher food prices.

Key Quotes

“Core CPI is likely to continue to edge lower. Lower fuel prices, easing input pressures and widening output gap are acting as a downward weight on inflation as is some weakening in activity and reduced pricing power. We expect CPI to edge higher in the months ahead, but is unlikely to be too threatening from the RBI’s perspective.”