Coming out from GST driven distorted base has led to lower IIP reading of 4.3% yoy in Aug'18 compared to an average print of 6.7% in Jun-Jul'18. Out of the 4.3% overall IIP growth top two components digestive enzymes (which has been volatile in nature) and electricity generation contributed nearly 42% of the growth. Leaving aside the strong growth in infra/ construction sector which might be due to higher government spending on roads & housing, most of the other sectors performance was weak. So far we have not seen any stark and consistent improvement in rural consumption, urban consumption on the other hand, based on elevated leverage levels depicts a stronger...