Commodities send India inflation to 13-year high

Spiralling inflation, market volatility and falling rupee create tough backdrop for Indian fund launches, but managers remain convinced of fundamentals

Inflation in India reached a 13-year high last week thanks to ballooning commodity prices, according to official figures. This has been accompanied by volatility in equity markets and the Indian rupee has also continued to fall in value, now down 8% against the dollar since the start of the year. India calculates its inflation by looking at the wholesale prices of a basket of 435 commodities, meaning actual consumer inflation is likely to be even greater. This torrent of bad news comes after two high-profile India fund launches this year, with Jupiter and New Star accompanying these w...