Dec 12 Reuters India39;s retail inflation in November eased to 5.48 as soaring vegetable prices moderated during the month due to an improvement in supply, according to government data released on Thursday.

A Reuters poll had projected retail inflation at 5.53.

COMMENTS

DIPANWITA MAZUMDAR, ECONOMIST, BANK OF BARODA, MUMBAI

Headline CPI got the desired comfort from a favourable statistical base and moderation in food inflation.

What comes as a further respite is that the outlook seems more benign with visible correction in tomato and onion prices and comfortable supply.

The next few inflation prints will be crucial in determining where the needle of the Reserve Bank of India39;s policy compass would rest.

GARIMA KAPOOR, ECONOMIST, INSTITUTIONAL EQUITIES, ELARA SECURITIES, MUMBAI

The deflationary trend in food prices, in particular vegetables, along with the lagged impact of softening demand amid food price deflation should aid headline CPI to fall below 5 in December.

We see FY25 estimated CPI at 4.8 average and continue to expect the RBI39;s Monetary Policy Committee to cut policy repo rate by 25 bps in February 2025 and make a cumulative of 75 bps cut in the current rate cut cycle.

GAURA SEN GUPTA, INDIA ECONOMIST, IDFC FIRST BANK, MUMBAI

We continue to expect 25 bps cut in February. Growth conditions continue to weaken even in the third quarter, indicating the need to ease monetary policy.

RADHIKA RAO, SENIOR ECONOMIST, DBS BANK, SINGAPORE

Inflation…