Our inflation and interest rates now depend more on monsoon than crude oil

Hopefully, the fragile truce will hold, as continued hostilities have adverse implications for both the US and Iran. In India, prices of petrol, diesel, LPG and other fuels increased, adding to inflationary pressures. Going forward, however, the monsoon is likely to have a bigger influence on inflation—and consequently on the Reserve Bank of India’s (RBI) interest-rate decisions.