Inflation
Commodity market shock to trigger all-round price rise
The rise in the cost of commodities led by the Russia-Ukraine war is expected to trigger an inflationary trend in India. The blow is expected to push up prices of everything from food items to manufactured goods. Besides, the trend might force the Reserve Bank of India's Monetary Policy Committee to raise key lending rates, thereby hitting automobile and housing sectors. India's main inflation gauge -- Consumer Price Index (CPI) -- which denotes retail inflation, has crossed the RBI's target range in January.
Inflationary Woes: High fuel cost to raise cement prices
Growth of real estate as well as infrastructure sectors is expected to take a hit, as prices of cement are expected to rise further on the back of high energy costs. Notably, the Russia-Ukraine crisis has triggered a massive spike in crude oil, natural gas, and coal prices. The BE Capex is intended for infra creation, however, the rising cost might make it insufficient for all the planned projects.
Inflationary fears: Rupee hits record low at over 77 to USD
High commodity prices as well as outflow of foreign funds from equity markets dragged Indian rupee to a new record low against the US Dollar. Accordingly, rising prices of crude oil along with other commodities triggered by the Russia-Ukraine war had kept a weak pressure on the rupee.
Gold Rush: Ukraine war pushes up global prices to $2K
Inflationary fears triggered a rush for safe haven investments during the ongoing market volatility that pushed up the global gold price to $2,000 per ounce on Monday. Accordingly, the fears of supply shortages due to the Russian-Ukrainian conflict along with robust demand has kept prices higher. Besides, sanctions on Russia, which is a major producer of Gold, is expected to reduce the supply.
Sunflower seeds import from Ukraine affected, domestic market banks on mustard
There is some uncertainty and prices of some of the edible oils have gone up by $200 in the international market. India imports sunflower seeds from Ukraine as imports are relatively cheaper even when India's sunflower seed production ranges between 60,000-75,000 tonnes. With a view to keep prices in check and also check the rise in prices of domestic edible oils due globally hike.
Concerns grow about food prices worldwide after Russian invasion
"I think it's a little early to make projections and hypothesize about circumstances," he added on Thursday. "If I were a Commissioner or an (Agriculture) Secretary in a European country, I would probably have a much different feeling about this," he said. "I think we in the US are fortunate. We have tremendous capacity; we have tremendous production capacity."
CPI inflation likely peaked out; expected to moderate in February
India's consumer price indexed inflation is expected to moderate in February 2022 from the levels in January, said Motilal Oswal Financial Services. Notably, high commodities cost especially of transport fuel prices triggered a wider inflationary trend in January 2022. As a result, India's main inflation gauge -- Consumer Price Index (CPI) -- which denotes retail inflation surged on a sequential as well as year-on-year basis.
Price of onions 22.36% lower compared to last year: Govt
"Onion buffer of 2.08 lakh metric tonnes (LMT) built in current year under the Price Stabilisation Fund has been released in a calibrated and targeted manner to states/cities where prices are increasing over the previous month and also to source markets such as Lasalgaon and Pimpalgaon to augment the availability in these key mandis,"Food and Public Distribution Ministry statement said.
Rising Costs: Jan inflation levels at elevated levels; CPI crosses 6%
Notably, high commodities cost especially of transport fuel prices triggered a wider inflationary trend. As a result, India's main inflation gauge -- Consumer Price Index (CPI) -- which denotes retail inflation surged on a sequential as well as year-on-year basis. The index rose to 6.01 per cent last month from 5.66 per cent in December 2021 and 4.06 per cent recorded for January 2021.
India's Jan wholesale price inflation sequentially eases to 12.96%
Accordingly, the annual rate of inflation, based on wholesale prices, eased to 12.96 percent last month from 13.56 percent reported for December 2021. However, on a year-on-year (YoY) basis, the Wholesale Price Index (WPI) data furnished by the Ministry of Commerce and Industry showed an exponential rise last month over January 2021, when it stood at 2.51 percent.
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