India’s retail inflation in November came in at 0.71%, marginally higher but fully aligned with economists’ expectations. The latest data was released
by the Ministry of Statistics and Programme Implementation (MoSPI) on Friday, indicating continued price stability despite persistent volatility in key categories like food and fuel. Inflation Edges Up, But Remains Comfortable The November CPI print reflects a minor uptick compared to the previous month but remains well within the central bank’s comfort band. Analysts noted that inflation staying close to the projected level reinforces expectations that price pressures are broadly contained ahead of the year-end quarter. Food Prices Still A Key Driver While the headline number showed only a mild rise, food inflation continues to contribute significantly to the overall index. Seasonal fluctuations in vegetable and cereal prices, along with higher cost pressures in protein-based items, have kept the food basket elevated. Economists suggest that the winter supply cycle may ease some of this pressure in the coming months, but global commodity trends and climatic disruptions will remain key variables. Fuel Prices Show Mixed Movement Fuel and light inflation remained relatively steady, with no major spikes recorded during the month. A stable crude oil market and controlled domestic pricing helped cushion the index, partially offsetting the upward movement in food items. What The Numbers Signal The latest CPI reading supports the view that inflation is stabilising after months of uneven movement. With the figure matching market forecasts, policymakers and financial markets are likely to maintain a steady outlook. Market participants will now watch the upcoming industrial production and wholesale inflation data for clearer signals on the macroeconomic trajectory heading into 2026.
