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Cannot Rely on First Cut Inflation Numbers; June 2012 at 7.25%
Inflation data comes riddled with past revisions that make the headline figure of 7.25% (an improvement over the 7.55% last month) feel like a farce. If you keep revising past announced numbers, all...
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Jun 2012 CPI Inflation Still in Double Digits: 10%
In more depressing news, India’s Consumer Price Index (CPI) is still in double digit inflation mode, with Jun 2012 going up to 10.02%. The graph has sloped downwards, and past data have not been...
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July 2012 WPI Inflation at 6.87%
July 2012 Inflation on WPI has come in at 6.87%, a lower figure than than the 7.25% in June. But these figures are revised constantly (like I noted last time, the first announced figures for Jan, Feb...
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July CPI At 9.86% and Still Too High
July’s Consumer Price Index inflation showed that prices are still increasing at an alarming rate, even though the price change is less than 10%. Note however that these figures may be further revised...
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August 2012 WPI Inflation at 7.55%. And More Upward Revisions.
WPI inflation for August 2012 has come in at 7.55%, a jump over July’s first released number of 6.87%. All the base components have gone up, with Manufactured Goods (weight of 65%) going back above 6%...
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CPI Inflation Back in Double Digits (Aug 2012)
Consumer Prices are up 10.03% in August 2012 as the index goes back up into dangerous 10%+ levels from a sub-10% print last month. The “New” CPI (as in, it’s an index that’s only been introduced since...
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WPI Inflation for Sep 2012 at 10 month high, 7.81%
Wholesale Price Inflation was at 7.81% in Sep 2012, the highest in 10 months. Remember, diesel prices were increased in mid-September, and about half that impact is visible in September monthly...
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CPI Inflation for Oct 2012 at 9.75%
Consumer Price Index based Inflation (YoY change) is now 9.75% for October, a marginal increase over inflation in September (9.64%). Inflation remains sticky at the consumer level way beyond the...
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Oct 2012 Inflation Dips Slightly to 7.45%
Official figures show October 2012 Inflation (based on Wholesale Prices) at 7.45%, slightly lower that September’s 7.81%. The problem is that this data is likely to be revised substantially. August...
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CPI for Nov 2012 at 9.90%
Consumer prices went up 9.90% according to the “new” CPI (a measure being recorded from Jan 2011, which is what qualifies for “new” in this context). (WPI data for November is not yet out) Component...
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WPI Inflation for Dec 2012 at 7.18%, but Consumer Prices Rise A Record 10.56%
Wholesale Price Inflation came in at a low 7.18% today, a 36 month low. However don’t read much into that figure – last year, the Jan 2012 figure was first released at 6.55% and later revised to...
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Urban CPI Inflation Above 11% With Both RBI and Government Insensitive
2013 rings in with a Consumer Price inflation of 10.79% and urban inflation above 11%. It’s really time to stem the rot. With the continuous retrograde focus on wholesale prices, which either don’t...
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WPI Inflation for Feb 2013 at 6.84%
February 2013 has shown a small jump in Wholesale Price Inflation to 6.84% (from last month’s 6.62%) Much about the low number is really the lack of inflation in manufactured goods (4.51%) whereas...
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CPI Inflation for Feb 2013 at 10.91%
In a stark difference from whatever the Wholesale Price Inflation guys are smoking, consumer prices have now left the building through the roof. At nearly 11%, the Consumer Price Index (CPI) has...
View ArticleCPI Inflation for March 2013 at 10.39%, Too High For Comfort
Consumer Price Inflation came in at 10.39% for March 2013, down from the Feb 2013 number of 10.91%. This is still way too high a number for comfort, given that it’s prices consumers face. Wholesale...
View ArticleFalling inflation and gold prices may boost bank deposits: Deutshe
Falling inflation and steep correction in gold prices, prompting investors to park money in bank deposits, may increase the real interest rise in the current year according to a Deutsche Bank report....
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CPI Inflation Falls to 9.39% in April 2013
Consumer Price Inflation Fell to 9.39% in April 2013, says MOSPI released data. The WPI for April 2013 will only be released on Wednesday, but the trend looks down. Food remained above 10% on a...
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Can’t Believe WPI Inflation Numbers: April 2013 at 4.89%, but Feb number...
Wholesale Price Index (WPI) based inflation comes in at a number you wouldn’t believe: 4.89%. But you don’t have to believe it. In Feb they told you WPI was at 6.84%, but it has now been revised back...
View ArticleInflation Indexed Bonds in India
If you buy a fixed income bond, your problem is that as inflation increases, your income remains the same and this gives you a much lower return, net of inflation. One way to solve that problem is to...
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16 years of Inflation and Bond Yields
We’ve discussed how Inflation Indexed Bonds might work in India, and like in the US, the difference in the yields between the two is likely to be the expectation of inflation. Let’s look at how the...
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