India’s annual rate of inflation based on wholesale prices (WPI) sequentially rose to 2.03 per cent in January from a rise of 1.22 per cent in December.
World shares dipped on Monday as the US Senate’s passage of a $1.9 trillion stimulus bill put fresh pressure on Treasuries and tech stocks with lofty valuations, raising inflation jitters.
British manufacturers suffered a double hit last month as COVID-19 disruption to global shipping combined with new trade barriers with the European Union, according to a survey published on Monday.
World shares sank on Monday as expectations for faster economic growth and inflation battered bonds and boosted commodities, while rising real yields made equity valuations look more stretched in comparison.
Annual inflation index in Brazil rose above 5% in February for the first time in four years, official figures showed, above analysts’ expectations and almost certainly setting the seal on an interest rate hike next week.
Egypt’s annual urban consumer price inflation eased to 4.3% in January from 5.4% in December, the official statistics agency CAPMAS said.
Asian shares pushed higher on Friday after US President Joe Biden signed a $1.9 trillion stimulus bill into law, and as a retreat in bond yields overnight eased global concerns about rising inflation.
With growing food and fuel prices, India’s retail inflation increased in February as the Consumer Price Index rose to 5.03 per cent against 4.06 per cent in January.
Investors’ have been apprehensive for weeks due to fears of US President Biden’s $1.9 trillion stimulus plan affecting the economy.
Rising trade deficit along with chances of a populist budget might dampen rupee’s prospects during the coming week. Nevertheless, persistent interest of Foreign institutional investors (FIIs) in India’s equity market will arrest any sharp depreciation moves.