India 's industrial production shrank 0.8% in April after expanding for two months because of a 3.1% decline in manufacturing output, the Index of Industrial Production (IIP) released by the statistics office on Friday showed. Manufacturing PMI showed activity was barely in the positive zone in May. Passenger car sales grew 6.26% in May, down from 11% in April.Economists are now pinning their hopes on monsoon to revive rural demand and thereby industrial output. This is the sixth consecutive month of decline in Capital Goods production. "This reinforces the fact that there is weakness in investment demand," said Crisil chief economist DK Joshi.

Source: Economic Times June 10, 2016 21:48 UTC