Both Finance Minister Arun Jaitley and RBI governor Raghuram Rajan can breathe little easily as the latest macro-economic indicators don't seem to be as bad as as they were last time. Consumer price index (CPI) based inflation rose marginally to 5.69 per cent in January from 5.61 per cent in December as food items became more expensive. It was 5.19 per cent a year ago. This may very well justify the RBI governor's cautious approach on rate cuts and convince the FM that the RBI is not unnecessarily undercutting his growth project. The Index of Industrial Production (IIP) contracted by 1.3 per cent in December 2015 as against a contraction of 3.4 per cent in November 2015, with a better performance by the mining and electricity sectors. This may help soothe FM's nerves as he prepares to present his FY17 budget by the end of this month. Both the numbers, however, highlighted the need for continued policy measures to lift manufacturing performance and tame food prices. With items such as meat and fish, eggs and vegetables becoming costlier, the consumer food price index rose to 6.85 per cent in January as against 6.4 per cent in December. On a cumulative basis, the IIP grew at a robust 3.1 per cent in the first nine months of the fiscal year compared with 2.6 per cent growth in the corresponding period last fiscal. Electricity grew 3.2 per cent in December while mining grew 2.9 per cent. However, manufacturing contracted by 2.4 per cent, raising questions over the perceived revival in factory output. Analysts have warned that the latest data indicate an uneven and fragile industrial recovery.