- Wealth PMS
Consumer Price Inflation for March 2012 came in at 9.47%, much higher than the 8.83% last month. This compares badly with a flattening WPI which was under 7% for March 2012.
The new consumer price indices have been created since Jan 2011, so there isn’t much past data. True year-on-year data only started to come in by January 2012. Looking at urban versus rural, the new CPI is in double digits at the urban level.
Finally, the reason for the high CPI inflation is the fact that housing (rent) has gone up substantially. Housing costs aren’t used for rural CPI calculations.
(Bubble size = weight in the combined CPI index for Rural+Urban. X axis must be ignored, just a measure to space the bubbles)