Jul 11, 2013

Government decides to release economic data after market hours

Key macroeconomic data including GDP and IIP numbers will now be released after market hours, in an apparent bid by the Government to prevent any knee-jerk reaction to such information.
According to a statement available on the Ministry of Statistics and Programme Implementation website, Gross Domestic Product (GDP), Consumer Price Index (CPI) and Index of Industrial Production (IIP) will now be released at 5.30 PM in the evening.
A source said the government has taken this decision in view of deteriorating markets and depreciating rupee.
Financial markets have in the past reacted sharply to release of IIP, GDP and CPI numbers at the scheduled time of around 1100 hours.Starting this Friday, the two key data indicating health of the economy, i.E.
IIP measuring factory output and CPI reflecting price rise on retail level, will be released in the evening.
The factory output growth has slipped to 2 per cent in April on account of dismal performance of manufacturing, mining and power sectors coupled with lower output of capital goods as the official data released last month on June 12.
Falling for the third straight month, CPI or retail inflation stood at 9.31 per cent in May due to easing of prices of edible oil and protein-based items.

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