Monthly Inflation

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Community User Posted on 04:22pm 14-Mar-2019

Monthly Inflation

Key readings
 

• Retail inflation for February printed 2.57% YoY, up marginally from a 19- month low reading of 1.97% in January 2019. CPI in February 2018 was at 4.44%. The pick-up was on account of lower deflation in food prices

• While the food basket was down 0.07% YoY, marking the fifth consecutive month of deflation, it picked up from the previous three months’ average of -1.54%. Segments like vegetables (-7.69%), sugar (- 6.92%) and pulses (-3.82%) continued to remain in the red. Important segments like cereals (1.32%) and milk (0.78%) increased mildly

• Fuel inflation fell to a further series low of 1.24% YoY on the back of stable of crude oil prices around ~US$65 per barrel. Petrol prices (part of transport & communication sub-segment) de-grew 4.3% YoY against the previous six-month average of +8.3%

• Core CPI (CPI ex-food, ex-fuel) remained largely static at 5.31% YoY against the previous month’s reading of 5.35% YoY. High readings for segments such as health (8.82%) and education (8.13%) imparted stickiness to the core basket

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