Good news for the economy! Inflation starts to ease in June, shows CPI data

Updated : Jul 12, 2021 17:52
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Editorji News Desk

Cheer for the economy as the inflation for the month has eased, Consumer Price Index for the month of June has clocked in at 6.26% vs economists' expectation of 6.5%. This is a drop from the May reading of 6.3%. 

The slower pace of increase in food inflation and core inflation has suported as a core inflation has also eased from the 7-year high to 6.2%. Food inflation clocked in at 5.1% vs 5% in May and is expected to ease further as monsoon sets in over the country. 

Inflation though has eased remains above the RBI's comfort level of 6% for the second straight month. So inflation risk is definitely not off the table yet.

The other piece of good news comes in fro the IIP as for the month of May the industrial production has soared to 29.3% although on a very low base.  

CPIInflation

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