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CareEdge Research Report
India's consumer price index inflation rose to three-month high of 5.6% in November.
The uptick was on account of sharp increase in vegetables prices.
Core inflation moderated to 4.2% from 4.4% a month ago.
Vegetables prices could soften in coming months due to improved seasonal supply.
Sticky inflation in non-perishable food categories pose a risk of potential generalisation of price pressures.
An unfavorable base is expected to push CPI inflation higher to around 5.8-6% in December.
For FY24, our CPI inflation expectation is unchanged at 5.4%.
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