There's some good news for the government on the inflation front as the wholesale price index (WPI) inflation eased to 4.53 per cent in August from 5.09 per cent in July. The continuous rise in petrol, diesel prices has not affected WPI inflation so far.
Data released by Ministry of Commerce and Industry showed that while WPI inflation on food article decreased from -2.16 per cent to -4.04 per cent, on fuel articles it remained at 17.73 per cent. However, WPI inflation on manufacturing products increased from 4.26 per cent to 4.43 per cent.
Retail inflation too cooled to a 10-month low in August on cheaper food items while industrial output expanded by 6.6 per cent in July, official data released earlier this week showed.
The RBI, which is struggling to stem rupee depreciation, will be factoring in the data while deciding the interest rate at its next bi-monthly monetary policy meeting on October 5.
Retail inflation was at 4.17 per cent in July and 3.28 per cent in August 2017
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