India: Economic recovery reaches post-lockdown high – Nomura

Dhwani Mehta FXStreet

In its latest report, the Nomura analysts noted that India's economic activity rose to a post-lockdown high in the week ended Aug. 16.

Key quotes

“After a prolonged period of flattening mobility trends since mid-June, Google workplace and retail & recreation mobility data have resumed their uptrend in August, even though they remain materially below pre-pandemic levels.”

“Nomura’s India Business Resumption Index stood at 73.7 for the week ended Aug. 16, up from 72.3 in the previous week.”

“The labor participation rate has steadily picked up (42.2 vs 40.6 in the prior week), though it is not all smooth sailing as the unemployment rate has risen (to 9.1% vs 8.7%), with a deterioration in both urban and rural areas,”

“The recovery is uneven, and the risk of a reversal in momentum from the second wave of coronavirus cases joining a ‘rolling wave’ in traditionally safer states in the south and the east remains high.”

Author

Dhwani Mehta

FXStreet

Residing in Mumbai (India), Dhwani is a Senior Analyst and Manager of the Asian session at FXStreet. She has over 10 years of experience in analyzing and covering the global financial markets, with specialization in Forex and commodities markets.

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