Strong Rupee should keep WPI inflation under check going ahead: Angel Broking

Views of Mr. Siddharth Purohit (Sr. Equity Research Analyst - Banking, Angel Broking):

"The WPI for March cooled off to 5.7% vs 6.55% in February, largely due to softening manufacturing and fuel inflation. However, food inflation remained on higher side at 3.12% vs 2.69% mom due to higher vegetable prices. Out of the six major categories of WPI index five have show some cool off while the food inflation remains sticky.

The CPI inflation for February had gone up to 3.81% and was well below the RBI's targeted 5%. However amid concerns over monsoon the RBI had indicated that inflation could remain sticky in the near term. We believe a strong rupee should result in lower crude oil prices for Indian basket and that should keep both CPI and WPI under check in the near term."

Source : Equity Bulls

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