WPI inflation near 2-year low at 2.45% in May, may prompt another RBI rate cut

Times of India | Jun 14, 2019 at 7:00 AM
  • Wholesale price-based inflation hit a 22-month low of 2.45 per cent in May helped by falling prices of food articles, fuel and power items, and this in turn may prompt the Reserve Bank to go for another cut in key interest rates in the current fiscal.
  • The Wholesale Price Index (WPI)-based inflation was at 3.07 per cent in April this year.
  • Flagging uncertain monsoon, unseasonal spike in vegetable prices, crude oil prices, financial market volatility and fiscal scenario as risks to inflation, the RBI projected upward bias in food inflation in the near-term.