India’s wholesale prices fall in November at the slowest pace in 5 months

Wholesale price inflation in India fell during the month of November, at the slowest pace in five months. However, it came in higher than what market participants had priced in initially.

India's wholesale prices rose 3.15 percent year-on-year in November, its slowest pace in five months, data released by the Indian Ministry of Commerce and Industry showed Wednesday. The data compared with a 3.10 percent annual rise forecast by economists in a Reuters poll.

In October, prices rose a provisional 3.39 percent. Last month, wholesale food prices rose 1.54 percent year-on-year, compared with a provisional 4.34 percent gain in October.  However, prices of wheat and cereals rose 10.71 percent and 7.32 percent respectively during the month.

Further, Fuel index for inflation also rose by 7.07 percent in November from 6.18 percent in the previous month while inflation of manufacturing items also firmed up by 3.2 percent in November from 2.67 percent a month ago as prices of food items, chemical products, basic metal products rose at a faster pace.

A day earlier, the Central Statistics Office (CSO) reported that India's annual retail inflation eased last month to 3.63 per cent from 4.20 per cent in October. Meanwhile, the USD/INR traded at 67.50, up 0.14 percent