help drive higher food and grain production +RBI rate cut +NEW DELHI: Consumer inflation in June cooled to a new record-low of 1.54 per cent, driven by a drop in food and oil prices, government data showed on Wednesday. In May consumer price inflation stood at 2.18 per cent, which was also a record low. Analysts believe this will intensify pressure on the RBI (Reserve Bank of India) to cut interest rates.A Reuters poll of over 30 economists had expected consumer prices to cool to 1.70 per cent.June's inflation figure is the lowest since the series began in 2012 and below the RBI's medium-term target of 4 per cent for an eighth successive month. Core inflation, however, has remained stubbornly above 4 per cent since at least 2015.Food and beverage price index, which accounts for nearly half the consumer price index basket, shrunk 1.17 per cent in June. (With Reuters inputs)

Source: Times of India July 12, 2017 12:14 UTC