India:Food keeps inflation low,manufacturing IIP recovers

- September CPI inflation remained unchanged at 3.3% y-o-y from August (which was reviseddown from 3.4%), much lower than our and market expectations.

    - Food inflation came in softer than expected at 1.8% y-o-y, while fuel and core inflation (ex food,fuel, petrol and diesel) grew much faster at 5.6% and 4.4% respectively.

    - August industrial production accelerated to 4.3% y-o-y from 0.9% in July (revised down from1.2% earlier).

    - Manufacturing growth finally picked up at 3.1%y-o-y, mining and electricity also grewimpressively at 9.4% and 8.3% respectively