CPI Inflation At Three-Month Low In April; IIP Grew 22% In March On Low Base: Motilal Oswal
A vendor holds a bag full of Indian rupee banknotes of various denominations at the Margoa wholesale fish market in Margo, Goa. (Photographer: Dhiraj Singh/Bloomberg)

CPI Inflation At Three-Month Low In April; IIP Grew 22% In March On Low Base: Motilal Oswal

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Motilal Oswal Report

Consumer price index-based retail inflation came in at a three-month low of 4.3% YoY in April 2021 (versus 5.5% in March 2021 and 7.2% in April 2020).

This number is lower than our forecast of 4.6% YoY and higher than Bloomberg consensus of 4.1% YoY.

Food inflation (CPI weight: 39.1%) came in at a three-month low of 2% YoY in April 2021 as against 11.7% YoY a year ago and 4.9% in March 2021.

Additionally, Index of industrial production grew 22.4% YoY in March 2021 supported by a low base.

The number is in line with our expectations and higher than Bloomberg consensus of 20% YoY.

With this, IIP in Q4 FY21 stood at 12-quarter high of 5.3% YoY.

Click on the attachment to read the full report:

Motilal Oswal Ecoscope -CPI-IIP.pdf

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