India’s retail inflation for Jan rose to 2.75% from 1.33% in Dec, the uptick in inflation was broadly in line with expectations. And the CPI data is based on the new 2024 series in which the government has changed the weightage of key components such as food and housing, compared to 2012 series. The food and beverage weight has been reduced to 36.75% from 45.86%. But the government has not shared comparable data for key components under the new series. Post CPI, the bond market rallied as the headline print came in line with expectations indicating that RBI may likely to continue to hold rates on pause for some extended period
