India’s headline inflation rate rose by 0.7 per cent in November. In other words, the overall price level in the economy rose by less than a per cent this November when compared to where it was 12 months ago. By itself, this confirms what the Governor of Reserve Bank said in the recent monetary policy review: That inflation at “a benign 2.2 per cent” (for the full year) and growth at 8.0 per cent in the first half of the current financial year “present a rare goldilocks period” for the economy. While the November number is low, it was a modest increase over the inflation rate in October. But the turnaround is not........

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