New Delhi, Jan. 14 -- India's inflation trajectory is set for a technical shift as a new Consumer Price Index (CPI) series prepares to debut in February, marking the end of the outgoing 2012-based series that closed December with a modest rise. Nomura, in its latest report, expects CPI inflation to "drift gradually higher in the coming months" following the transition to a 2024 base year. This overhaul includes updated weights that prioritise core categories over staple foods and introduces significant methodological upgrades to data collection.

According to the Nomura report, December's headline inflation rose to 1.3 per cent year-on-year from 0.7 per cent in November. While this figure fell below consensus expectations, the uptick was ...