India June CPI Inflation Exceeds Forecast

(RTTNews) - India's consumer price inflation accelerated more-than-expected in June, cooling expectations that the central bank may reduce interest rates further, official figures revealed Monday.

The consumer price index rose 5.40 percent annually after a 5.01 percent climb in May. Economists had forecast a 5.1 percent increase.

Food price inflation accelerated to 5.48 percent from 4.80 percent in the previous month.

The Reserve Bank of India's monetary policy agreement with the government unveiled this year targets inflation at 6 percent by January 2016 and at 4 percent by the end of 2017-18.