October Preview: India’s Inflation Dip Fuels Rate Cut Hopes

India’s consumer inflation rate likely fell to 1.7% in September 2025, below the RBI’s 2-6% target range and down from 2.07% in August, as food prices continued to slide. Vegetables saw double-digit declines since April, easing overall CPI pressures. Reuters economists expect food inflation to stay muted through September, extending a seven-month stretch below the RBI’s 4% medium-term goal. Meanwhile, core inflation edged up slightly to 4.15%, reflecting stable underlying demand. Official inflation data will be released on October 13, 2025.