Coal news and updates

WPI dips to 0.9% in Feb, food prices down

Continuing the downward trend, the WPI inflation fell to (-) 0.91% in February as food articles, mainly vegetables, onion and pulses, turned cheaper. 

This was a further contraction to the WPI inflation reading of -0.9% in January 2016 and
this is the 16th straight month since November 2014 that deflationary pressure persisted and wholesale inflation has remained in the negative zone.

WPI inflation had come in at -2.17% in February last year.

Food inflation decreased 3.2% to 259.1 in February against 267.6 in February, according to official data which was released.

Inflation in fruits and vegetables eased to 11% each. Price growth in eggs was -6%.

Inflation in the fuel and power segment was -1.20%, and for manufactured products, it read – 0.30% in February.

The December inflation has been revised to -1.06% from the provisional estimate of -0.73%.

The central bank looks into mainly retail inflation data while firming up its monetary policy stance.

RBI also takes into account industrial production numbers. As per latest data, IIP contracted 1.3% in December against a decline of 3.4% in November.