NEW DELHI: Chief economic adviser Arvind Subramanian said policymakers must “reflect” after data showed consumer inflation at a record low in June amid faltering industrial growth , seemingly renewing his criticism of the central bank’s stand on interest rates. Independent economists said they expected a rate cut in the August 1-2 monetary policy review. Deutsche Bank said it expects action on the rate front.“We are changing our rate call post the release of the June CPI inflation data. The consumer food price index was down 2.12% in June from a year ago.Core inflation eased to 3.9% in June 2017 from 4.3% in May 2017. While a good monsoon is expected to keep food inflation low, pay commission allowances, GST and farm loan waivers could push it up.

Source: Economic Times July 12, 2017 19:30 UTC