India's wholesale price inflation runs at 30-year high, makes rate hikes more likely

High global energy and raw material prices combined with a weak rupee fuelled the fastest annual rise in India's wholesale prices in more than 30 years, raising expectations for the central bank to order more interest rate hikes.

Wholesale prices akin to producer prices, climbed 15.88 percent in May from year ago levels, staying in double-digits for a 14th straight month, and was, according to economists, India's highest since September 1991. A Reuters poll of analysts had forecast a rise of 15.10 percent.