Dec. inflation hits 4-month low.
• Retail inflation in India reached a four-month low of 5.22% in December from 5.5% in November.
• Food inflation also cooled from 9.04% in November to 8.4% last month.
• Urban consumers saw a 4.6% higher price increase in December compared to 4.9% in November.
• Rural consumers saw a steeper price rise of 5.8%.
• With December’s inflation, India’s Consumer Price Inflation averaged 5.63% in Q3 2024-25, slightly below the Reserve Bank of India’s projection of 5.7%.
• The RBI’s monetary policy review may face little room to initiate interest rate cuts due to the recent uptick.
• Food inflation also cooled to a four-month low, but edible oils and fats rose at a 33-month high pace of 14.6%.