West Bengal- 2.3%
*The non-Phailin states, by contrast, showed a much lower CPI print. While Maharashtra and Madhya Pradesh saw just a 0.5% month-on-month hike in CPI, the number was 0.6% for Tamil Nadu, 0.9% for Kerala and 1% for Punjab versus the national average of 1.4%.
States affected by Phailin/ M-o-M change in CPI
Tamil Nadu- 0.6%
Apart from worrying about whether he wants to be reacting to news that is already old – since CPI is going to be falling soon – RBI Governor Raghuram Rajan needs to decide whether he is going to react to local price jumps or whether he is going to look at the larger national picture. Watch this space.