Retail inflation in India, measured by the Consumer Price Index (CPI), moderated significantly in September 2025, easing to 1.54% from 2.07% in August, according to official government data released on October 13. This marks the lowest inflation level since June 2017.<\/p>\n
The reading was slightly above the CNBC-TV18 poll estimate of 1.50%, reflecting a pleasantly surprising trend for policymakers and households alike. For context, CPI was 5.49% in September 2024, highlighting the sharp moderation in inflation over the past year.<\/p>\n
The moderation in retail inflation was largely driven by continued softness in food prices, with food inflation remaining negative for the fourth consecutive month. Food prices fell by (-)2.28% in September, compared to (-)0.69% in August and 9.24% in September 2024.<\/p>\n
Among specific food items, vegetable inflation declined further to (-)21.38% from (-)15.92%, and pulses inflation eased to (-)15.32% from (-)14.53%.<\/p>\n
Also Read<\/strong>: Indian Crypto Investors Rush to Buy the Dip After $19 Billion Market Loss<\/a><\/em><\/p>\n Both rural and urban inflation showed moderation. Rural inflation fell to 1.07% from 1.69%, while urban inflation dropped to 2.04% from 2.47%.<\/p>\n Other components of inflation showed mixed trends:<\/p>\n Fuel and light inflation eased to 1.98% from 2.32%<\/p>\n<\/li>\n Housing inflation rose to 3.98% from 3.09%<\/p>\n<\/li>\n Clothing and footwear inflation slightly declined to 2.28% from 2.33%<\/p>\n<\/li>\n<\/ul>\n Meanwhile, core inflation, which excludes food and fuel, climbed to 4.5% in September from 4.1% in August, marking its highest level since September 2023.<\/p>\n Aditi Nayar, Chief Economist at ICRA, noted:<\/strong> Madhavi Arora, Chief Economist at Emkay Global Financial Services, added:<\/strong> In its October bi-monthly monetary policy, the Reserve Bank of India (RBI) lowered its inflation projection for FY26 to 2.6% from 3.1% estimated in August. The RBI highlighted that healthy south-west monsoon progress, higher kharif sowing, adequate reservoir levels, and comfortable buffer stocks should keep food prices benign in the second half of the fiscal year.<\/p>\n Retail inflation eased to 1.54% in September 2025, the lowest since June 2017<\/p>\n<\/li>\n Food inflation remained negative for the fourth month, helping pull down headline CPI<\/p>\n<\/li>\n Rural and urban inflation moderated, while core inflation rose to 4.5%<\/p>\n<\/li>\n Experts expect October inflation to dip further, supported by GST cuts and food price stability<\/p>\n<\/li>\n RBI projects FY26 inflation at 2.6%, signaling manageable inflation for policymakers<\/p>\n<\/li>\n<\/ul>\n Click here to explore:<\/strong><\/em> Retail inflation in India, measured by the Consumer Price Index (CPI), moderated significantly in September 2025, easing to 1.54% from 2.07% in August, according to official government data released on October 13. This marks the lowest inflation level since June 2017. The reading was slightly above the CNBC-TV18 poll estimate of 1.50%, reflecting a pleasantly […]<\/p>\n","protected":false},"author":6,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1362],"tags":[1516,1515],"ppma_author":[1383],"class_list":{"0":"post-15533","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-finance-and-economy-news","8":"tag-ease","9":"tag-inflation"}," _eael_post_view_count":0,"authors":[{"term_id":1383,"user_id":6,"is_guest":0,"slug":"pradeep","display_name":"Pradeep Sangatramani","avatar_url":{"url":"https:\/\/trending.niftytrader.in\/wp-content\/uploads\/2025\/09\/Pradeep-Sangatramni.jpeg","url2x":"https:\/\/trending.niftytrader.in\/wp-content\/uploads\/2025\/09\/Pradeep-Sangatramni.jpeg"},"0":null,"1":"","2":"","3":"","4":"","5":"","6":"","7":""}],"_links":{"self":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/15533","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/users\/6"}],"replies":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/comments?post=15533"}],"version-history":[{"count":1,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/15533\/revisions"}],"predecessor-version":[{"id":15535,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/posts\/15533\/revisions\/15535"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/media\/15534"}],"wp:attachment":[{"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/media?parent=15533"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/categories?post=15533"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/tags?post=15533"},{"taxonomy":"author","embeddable":true,"href":"https:\/\/www.niftytrader.in\/markets\/wp-json\/wp\/v2\/ppma_author?post=15533"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Rural and Urban Inflation Trends<\/h2>\n
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Expert Views on Inflation Trends<\/h2>\n
“The September print has been a pleasant surprise, mainly due to deeper-than-expected food disinflation. While some sectors like housing and miscellaneous items saw a sequential uptick, overall moderation is visible. October inflation may fall to 0.5% or below, before an uptrend resumes later in the year.”<\/em><\/p>\n
“With GST cuts being felt in October and favorable mandi data, we may see headline CPI inflation dropping below 0.5%. Core inflation could also fall by over 100 basis points, providing relief for households in the near term.”<\/em><\/p>\nRBI\u2019s Inflation Outlook<\/h2>\n
Key Takeaways<\/h3>\n
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\nFII DII Data<\/a>
\nIPO<\/a>
\nBSE Sensex<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"