STOCK MARKET BSE NSE

Govt data deepens slowdown worries

Government data also showed retail inflation shot up to a 40-month high of 5.54% in November, inching closer towards the psychological mark of 6%.

Published: 13th December 2019 09:49 AM  |   Last Updated: 13th December 2019 09:49 AM   |  A+A-

Finance Minister Nirmala Sitharaman

Finance Minister Nirmala Sitharaman (File Photo | PTI)

Express News Service

NEW DELHI: India’s economy continued to report deepening signs of a slowdown with October factory production figures contracting as much as 3.8%, dragged by manufacturing which shrank 2.1% as well as power and mining, which  declined even more.

Government data also showed retail inflation shot up to a 40-month high of 5.54% in November, inching closer towards the psychological mark of 6%.

Factory output, measured in terms of Index of Industrial Production, had expanded 8.4% in October last year. The latest numbers represent the third straight month of contraction in a row. IIP had fallen 4.3% in September and 1.4% in the previous month.

“The breakdown showed the slump in capital goods production worsened which suggests that investment growth remained weak at the start of Q4,” said Mark Williams, Chief Asia Economist for Capitaleconomics.

According to the data released by the government, capital goods output shrank by 22%, while the manufacturing sector declined 2.1% in October compared to 8.2% robust growth in the same period last year.



Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp