Global uncertainty increased amid heightened US-China tensions and policy shifts, but India’s economy remained resilient, driven by strong demand in both rural and urban areas.

• CPI inflation hit its lowest since June 2017, offering relief amid global economic instability and rising international policy uncertainty.
• Agriculture maintained growth due to above-normal rainfall and higher kharif sowing, sustaining rural momentum despite global demand weakness.
• Manufacturing slowed slightly, yet business confidence in both the manufacturing and services sectors reached a six-month peak, showing optimism.