FE Poll: Dec retail...

HEADLINE INFLATION IS expected to remain well below the RBI’s 4% target for the remainder of the year, Rajani Sinha, chief economist at CareEdge, said.

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“The rise from November to December primarily reflects a narrowing of food deflation. This moderation is largely driven by a sequential increase in vegetable prices— led by tomatoes— as well as higher egg prices,” Sinha said.

Meanwhile, Vivek Kumar, economist at QuantEco, said that while the food prices have fallen this time as it usually happens in winter, the extent of fall is somewhat weaker than the usual trend.