WPI Inflation: The Biggest Blow To Inflation Since 1991

WPI Inflation: The biggest blow to inflation since 1991, wholesale inflation reached 15.88 percent in May.

At present, there is no relief from inflation. According to the data released by the government on Tuesday, the WPI inflation in May stood at 15.88 percent on a year-on-year basis.

The wholesale inflation has reached this high for the first time since 1991.

Let us tell you that the Wholesale Inflation (WPI Inflation) reached the level of 15.08 percent in April, which was 14.55 percent in March.

The rise in wholesale inflation was witnessed in May due to the rise in prices of mineral oils, crude petroleum and natural gas, food articles, basic metals, non-food articles, chemicals, and chemical products.

Inflation in food articles rose to 10.89 percent in May from 8.88 percent in April. Inflation in vegetables, which was 23.24 percent in April, rose to 56.36 percent in May.

There was some moderation in the inflation rate of manufactured items. Where it was 10.85 percent in April, it came down to 10.11 percent in May.

Talking about fuel and power, its prices saw a jump of 40.62 percent during May.

Retail inflation (CPI inflation) moderated slightly in May. CPI inflation, which reached an 8-year high in April, declined to 7.04 percent in May.

Reduction in excise duty on petrol and diesel and reduction in the duty of other items played an important role in controlling retail inflation.

Last week, the Monetary Policy Committee of the Reserve Bank of India increased the repo rate by 50 basis points, which has increased to 4.90 percent.

India’s GDP growth for FY23 has been estimated by the Reserve Bank at 7.2 percent. At the same time, the inflation forecast has increased to 6.7 percent.

The Monetary Policy Committee expects inflation to remain above 6 percent in the first three-quarters of FY23.

Aggressive Hybrid Fund: Know which fund gave better returns and whose performance was behind the benchmark.

SBI Mutual Fund has given the lowest returns among the three big funds in Aggressive Hybrid Fund. It has even passed on low returns to investors as compared to the Nifty 50 hybrid debt benchmark.

While the same scheme of ICICI Prudential Fund has given the highest returns among the top three funds.

As per Value Research data, the AAUM of SBI Equity Hybrid Fund stood at Rs 49,425 crore as of March 2022 while the AUM of ICICI Prudential Hybrid Fund stood at Rs 18,928 crore.

The AUM of HDFC Mutual Fund Hybrid Fund is Rs 18,430 crore.

Statistics show that this scheme of SBI has given returns of only 3.38 percent in one year, 20.78 in two years, and 11.33 percent in three years.