Inflation declines to 7.24% due to lower vegetable prices
For the fuel and power category, inflation moderated to 10.02 per cent during the month from 15.48 per cent in November 2011. However, diesel inflation increased by 14.60 per cent last month.
In the manufactured items category, prices of cotton textiles, man-made textile, iron and steel, paper products besides rubber and plastic products rose relatively at a lower pace compared to the same month of the previous year.
The rate of price rise in the manufactured products was 5.41 per cent in November, as against 8.17 per cent in the corresponding month of last year.
Inflation for September was revised upwards to 8.07 per cent from 7.81 per cent as per provisional estimates.
India's November inflation lowest in 10 months
(Reuters): India's wholesale inflation cooled to its weakest pace in 10 months in November, a positive sign for the struggling economy but probably not a big enough slowdown to persuade the central bank cut interest rates next week.
The wholesale price index (WPI), India's main inflation gauge, rose 7.24 percent from a year earlier, below expectations for a rise of 7.6 percent and below October's 7.45 percent.
An easing in annual fuel and manufacturing inflation helped rein in price pressures. "I don't think the RBI will be in a position to reduce policy rates on Dec. 18," said Rupa Rege Nitsure of Mumbai's Bank of Baroda. "But, the
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