Retail inflation eases to 18-month low in Dec.

-The Hindu

Wholesale inflation at eight-month low

Inflation in December eased at both the retail and wholesale levels with the consumer price index (CPI) coming in at an 18-month low and the wholesale price index (WPI) registering an eight-month low mainly due to falling fuel prices, according to two separate releases by the government on Monday.

Growth in the CPI stood at 2.19% in December, down from the 2.33% registered in November. The main driver for the easing in inflation was the fuel and light category, which saw growth slowing to 4.54% in December from 7.24% in the previous month.

Oil prices in the Indian basket fell significantly over the course of December, from $61 a barrel at the start of the month to $52.3 a barrel on New Year’s Eve.

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