Report: India's CPI inflation may have eased to four-month low at 4.8% in October

In line with the Reserve Bank of India's 4 percent medium-term target, the pace of India's consumer price inflation may have eased further to a four-month low of 4.80 percent in October, a Reuters poll suggested.

According to the poll, the volatile food prices have probably moderated after a spike in July and August. Though the prices of onions are still rising sharply.

The consumer price index (CPI) was at an annual rate of 4.80 percent in October, slower than 5.02 percent in September, as per the November 6-9 Reuters poll of 53 economists.

Forecasts for the data, to be released on Monday, were in a 4.47-5.55 percent range, said the report.

Despite a strong majority expected inflation to be lower than what it was in September, about 20 percent of economists said the inflation rate had risen.

The slower pace of price rises may give some comfort to the RBI, however, anchoring inflation to the 4 percent mid-point target is still some distance away.

As per the survey, The RBI is expected to keep its key policy rate unchanged at 6.50% at least until end-June 2024 before cutting it by 25 basis points in the following quarter.