What is different about the new CPI series in India?

The 2024-base CPI refreshes household weights, trimming food’s share and adding more services. This should make reported inflation less jumpy and more aligned with current spending. For investors, it reduces surprise risk around policy meetings and supports smoother pricing of Indian equities, bonds, and currency-sensitive positions.

Why did India CPI fall to 2.75% in January?

The updated basket, softer food dynamics, and favorable base effects pulled headline inflation down. The first print under the new series shows inflation back within the RBI’s 2–6% band, easing pressure for near-term tightening. Markets now expect policy continuity while the central bank studies trend and transmission.

How does this affect the RBI policy rate outlook?

With inflation within target and volatility likely lower, the RBI can keep rates unchanged near term while monitoring core and services inflation. A steady stance supports INR and bond sentiment. Any pivot to cuts would likely need several months of stable prints and clearer evidence of easing underlying pressures.

What does the India CPI change mean for SGD investors?

Smoother inflation readings reduce the chance of sharp policy surprises, which helps Indian bond funds and rate-sensitive equities. SGD investors can consider intermediate duration, quality large caps, and SGD-hedged share classes to limit currency swings, while phasing entries as data under the new series settles.

Why do some reports mention 2.8% instead of 2.75%?

Small differences come from rounding, methodology notes, or preliminary strategist estimates for the new series. Official reporting shows 2.75% for January, while some analysts cited about 2.8%. The gap is minor and does not change the main takeaway that inflation is within the RBI’s target band.

Global Market Insights

India CPI February 15: New Series Puts Jan Inflation at 2.75%, RBI On Hold

ByDanny Kontos February 15, 2026February 15, 2026

India CPI is back within target at 2.75% in January under a new 2024-base series. The reweighting lowers food’s share and adds more services, which should trim volatility. For Singapore investors, a softer and smoother inflation gauge reduces surprise risk in India assets. Markets now expect the RBI policy rate to stay on hold near term to support INR and bond sentiment. We break down the new CPI series, rate implications, and what it means for SGD portfolios.