Wholesale prices in deflation zone for the first time in three

India's wholesale inflation fell into deflation for the first time in three years, with the Wholesale Price Index falling 0.92% YoY in April. Rajani Sinha, chief economist at CareEdge, expects the trend to continue until July with the annual average ranging between 1-2%. The deflation could lead to a cut in interest rates, with retail inflation slowing sharply to 4.7% from March's 5.7%, according to data released on Friday

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FRB: Monetary Policy Report to the Congress, July 18, 2001