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Below is Perspective on IIP Data by Mr. Nish Bhatt, Founder & CEO, Millwood Kane International 

The April IIP data has stood at an 8-month high. The industrial growth has grown on an MoM as well as a YoY basis. The steep growth on a YoY basis is due to a lower base of the previous year when large parts of the country were under a lockdown due to the second wave of the pandemic. Though the industrial growth has seen an uptick, it has been very erratic, it needs sustained growth over a long period of time for policymakers to take note of it. The next key data to watch for will be the CPI data due to be released next week.

A stable industrial growth, inflation within RBI's tolerance range, and a good monsoon year will impact the central bank's decision on interest rates and liquidity.”

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