Retail inflation hits 17-month high of 5.21% in December

Details about IIP and CPI

However, economists say that the central bank may be forced to accelerate that pace of increases if inflation shows signs of rising too quickly given that unemployment is at a 17-year low of 4.1 per cent.

Analysts polled by Reuters had predicted December's consumer inflation rate would climb to 5.10 percent, the highest since July 2016, from 4.88 percent in November.

For December, energy prices fell 1.2 per cent after surging 3.9 per cent in November. The overall 2.1 per cent price increase was identical to the inflation gain in 2016 with both years up from tiny increases of 0.8 per cent in 2014 and 0.7 per cent in 2015.

Underlying U.S. consumer prices recorded their largest increase in 11 months in December amid strong gains in the cost of rental accommodation and healthcare, bolstering expectations that inflation will accelerate this year.

The reason behind the high retail inflation is rise in prices of food items, egg, and vegetables.

As per the CSO data, inflation for the food basket increased to 4.96 per cent in December from 4.42 per cent in the preceding month.

More news: Baltimore Hospital Discharges Patient at Night, Wearing Only Gown and Socks

Rising inflation amid firm global crude oil prices is a major worry for Prime Minister Narendra Modi ahead of his last full-year budget, due on February 1, as he hopes to win a second term in 2019.

Food inflation remained volatile with prices falling in September and firming up from October, as eggs, vegetables, sugar and fruits became relatively more expensive.

Supporting the rise in underlying inflation pressures last month, rents increased 0.4 percent.

The RBI, which has a medium-term inflation target of 4 per cent, has raised its inflation estimate to 4.3 per cent to 4.7 per cent for the six months through March.

The fuel inflation rose to 7.90% in December 2017 against 6.36% in November 2017.

Related News:

  • Gerwig, Sorvino: We'll never work with Woody Allen again

    Gerwig, Sorvino: We'll never work with Woody Allen again

    Gerwig, Ellen Page , Griffin Newman and David Krumholtz have said in recent months they regret working with the director. The actress writes that she spoke with Ronan in December, telling about the "aftermath" of sharing her Weinstein story.

    Everything You Need To Know From Today's Nintendo Direct Mini

    Sounds like it will be "old-school hard", but if you get frustrated you can turn down the difficulty by switching to Assist mode. There's local and online co-op, full touch-screen support, and HD rumble to enhance the feel of weapon recoil.

    Ashes defeat does not harm England's one-day players, says Liam Plunkett

    Batsman Gary Ballance and fast-bowlers Jake Ball and Tom Curran have been dropped after being part of the Ashes squad. Vince averaged 26.88 batting at number three in the Ashes and opener Stoneman averaged 25.77.
  • Got batteries? Outage stalls giant tech show in Las Vegas

    The Consumer Technology Association (CTA), the organisers behind CES , blamed the glitch on the heavy rains the day before. With the show's biggest exhibitors inside the Central Hall this is a multi-million dollar outage on many levels.
    Federal Marijuana Legalization Could Create New Jobs and Billions in Tax Dollars

    Federal Marijuana Legalization Could Create New Jobs and Billions in Tax Dollars

    Some congressional Republicans in states that have legalized marijuana reacted in anger to the policy change, with Sen. No subgroup used by the pollsters supported enforcing the federal marijuana prohibition in those states.
    Oprah 2020? People Are Asking After Golden Globes Speech

    Oprah 2020? People Are Asking After Golden Globes Speech

    By the end of the night, the Internet was praising her as the queen she is and calling for her to run for president. Everyone is talking about Oprah's speech after accepting her lifetime achievement award and with good reason.
  • Turkey Warns Citizens Not to Travel to US Because of Terrorism Threat

    Turkey Warns Citizens Not to Travel to US Because of Terrorism Threat

    Turkey is also angered at USA support for Syrian Kurdish militia that it considers to be "terrorists". Turkish citizens were also warned of possible terrorist attacks as a reason to avoid the US.
    Panthers finalizing deal with Norv Turner as OC

    Panthers finalizing deal with Norv Turner as OC

    Rivera spent four years under Turner at San Diego from 2007 to 2010, including the last three years as the defensive coordinator. Turner, 35, took a job as an offensive analyst at MI after three seasons as quarterbacks coach with the Minnesota Vikings .
    Chelsea Reportedly Agree Stunning Deal to Replace Conte

    Chelsea Reportedly Agree Stunning Deal to Replace Conte

    Allegri is without question one of the best bosses working in the game today. "I want to know who the first to the 48th [are]". Meanwhile, former Manchester City manager Roberto Mancini believes the feuding pair will soon make up.
  • Maryland Falls at Ohio State

    Maryland Falls at Ohio State

    Maryland basketball (14-4, 3-2 Big Ten) has a road matchup with the Ohio State Buckeyes (11-4, 4-0 Big Ten). Maryland: Had won eight of the last nine entering the game but caught Ohio State on a hot streak.
    Infosys Q3 net profit up 38.3%, revenue at Rs 17794 crore

    Infosys Q3 net profit up 38.3%, revenue at Rs 17794 crore

    That compared with analysts' average estimate of 37.10 billion rupees, according to Thomson Reuters data. TCS' December quarter revenues and margins remained broadly in line with estimates, said Sharekhan .
    All jewels stolen from Paris's Ritz hotel recovered

    All jewels stolen from Paris's Ritz hotel recovered

    The other man made off in a vehicle that was found burnt out 15 hours after the raid in the outer northern suburbs about 12... French media have estimated the stolen merchandise as worth at least 4.5 million euros ($5.4 million).


Most liked

There's a new home for your phone's fingerprint scanner: inside the screen
Last year, Synaptics announced its new in-display fingerprint scanning technology, with Vivo being its first customer . You can register your fingerprint the same way you do on a normal smartphone with a regular fingerprint sensor .

Samsung Becomes Latest Phone Manufacturer to Unlock the FM Chip
Founded in 2013, TagStation, LLC is headquartered in Indianapolis, IN with offices in Indianapolis and Chicago, IL. Samsung is joining LG , Motorola , and Alcatel in this move, and there is a lot of logic behind it.

California US Rep. Darrell Issa to retire
Moreover, his ties to Trump in a state where the president is unpopular would nearly certainly increase his vulnerability. Patrick Tiberi, R-Ohio, referring to the year Democrats picked up 31 seats and retook the majority after 12 years.

Jacksonville Jaguars: Blueprint for victory vs
Roethlisberger was especially hot in December, averaging 325 yards per game with 16 total touchdowns over the final six weeks. We started chatting and I said that I hoped to get my hands on a Terrible Towel at the stadium on the day of the game.

Huge fire at Nottingham train station paralyses rail network
An officer at the scene told the Notttingham Post that the building is well lit and he has "never seen an incident on this scale". Nottinghamshire Fire and Rescue Service tweeted that crews are " working to stop the fire from spreading ".

Samsung's Foldable Smartphones Secretly Showcased with Design at CES 2018
The specs including Super AMOLED panel with Quad HD+ resolution, 4 GB RAM, 64 GB storage, 8 MP front camera and wireless charging. One change that's likely to make the cut in the new Galaxy S9 and Galaxy S9+ is a repositioned fingerprint scanner.

Take 5: Matchups that will decide Vikings-Saints
However, Line was waived shortly before New Orleans played at Minnesota in the September 11 regular-season opener. "He's physical. Two players - linebacker Michael Mauti (illness) and wide receiver Brandon Coleman (neck) - did not practice again Thursday.

Westbrook Still Trailing In All-Star Vote After Second Returns
Toronto's DeMar DeRozan is second among East guards with 537,168 votes and Philadelphia rookie Ben Simmons is third with 397,942. Fans will account for 50 percent of the vote, while all current players and a media panel will account for 25 percent each.

Is Trump signaling changes in policy toward N. Korea?
Trump told the Journal in his nearly hour-long interview that Lewandowski had more to do with his campaign's success than Bannon. The delegations agreed to ensure "the safety and success" of the upcoming PyeongChang Winter Olympics in the South.

NHS Forth Valley "sorry" patients have experienced longer waits in A&E
The latest figures released by NHS Digital show bed occupancy rates have been at 100pc at JPUH from December 27 to January 7. The flu status has been raised from "normal" seasonal activity to "moderate".

Violent protests erupt over rape, murder of 8-yr-old girl in
Some turned to violence, setting fire to cars they passed. "It has been unable to provide security for our children". The girl is believed to have been abducted on January 4 when she was on her way to a tuition centre near her house.

Celine Dion shows wonderful grace as fan humps her leg
Tickets are priced at P35,380, P32,210, P19,540, P16,370, P7,920 and P2,640, and will be available to the public on January 18. She will be playing some cities for the first time including Manila , Singapore , Jakarta , Taipei, and Bangkok .

Julian Assange, WikiLeaks founder, granted citizenship in Ecuador
British police have said they will arrest him on a charge of jumping bail if he tries to leave. She added that Ecuador was looking to resolve the impasse in a "dignified" way.

Four Supreme Court judges slam administration of India's top court
The recruitment for judges at the top court is done through collegium system where senior most judges recommend the names. Justice Chelameswar concluded the meet by saying: "There are many wise men saying many wise things in this country".

New Tax Law Brings Big Bonuses for Chrysler Workers
Fiat Chrysler is moving production of heavy-duty trucks from Mexico to MI and paying bonuses to USA workers in response to the.