While the wholesale price index (WPI) inflation accelerated to an all-time high of 15.9%, consumer price index (CPI) inflation moderated to 7%.

While the cut in excise duty on petrol and diesel helped to moderate CPI fuel inflation to 9.5% in May as compared to 10.7% in April, fuel inflation in WPI increased to a six-month high of 40.6%.

Rural retail inflation moderated sharply by 140 basis points to 7% led by a sequential moderation in rural core inflation and a favourable base.