India stayed busy with the price of Onions and potatoes for the week, with WPI stuck at 9.78% Navratras having begun and RBI releasing selective additional data with Onion and Potatoes rising 18% for the year ended September 13 The fuel price inflation kicks in nextthe fragile supply chain system absorbing a 5% hike in energy fuels. APMC Mandis could be stripped in between as farmers trucks are allowed to sell inside cities for tactical respite from the pricing for both farmers and consumers.
FI yield is surprisigly steady at just 8.35% desptite the sharp 10% depreciation in the currency in one week, Food inflation retrned to 9.13% from 8.8% within the week but Primary articles including Oilseeds and minerals (28% of the index) came back apercent to 11.5% and fuel topped up at 14.69% (15%)
This dusshera, even as Onions and Potatoes bring back health to the Indian family, one could see the readjustment of expectations to the inflation peg and the interest rate story we have been taliking abou tand that is the one we worry about with the next cuppa
Only inflation it is this Friday as the 12:30 European opening starts wishing the markes well in India, and the Dow stand erect to come back to last week’s tip off for the slide. If you are buying and selling, selling Coffee has been a good idea this week. Selling Braxzzil and OpeC is still high on the agenda even as crude starts back from 82. Indian agri production, as we tipped in last week’s export releases, is the other big story india sold out.