- Wealth PMS (50L+)
Primary Articles Inflation came in at 11.56% today, for the week ended 25 Jun. This is lower than last week’s first announced number of 11.84%, but honestly with the kind of revision spikes we are having for past data, I don’t think this is reliable.
Now for the revisions. The week ended 30 April was revised up to 13.7% from the first reported 11.96%. The difference, of 1.74% is lower than recent revision differences of nearly 4%.
At the primary level the 11.5% level, even if wrong by a few percentage points, is still way too high. We could get used to it, but it’s remarkably high.
We have not see a single digit inflation number at the primary level since October 2009.
Good luck pretending to ignore primary articles with that, Mr. RBI. Their latest speech talked about how they should ignore "non-core" inflation (which policy can’t control) and instead work on "core" which is non-primary, non-food inflation. Well, when you have primary level inflation about 10% for 20 months, good luck with that theory.