Indian stock indices opened higher Friday and hovered around lifetime highs, continuing their uptrend from the previous sessions, primarily due to a moderation in inflation in May - both in India and the US.
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Annual retail inflation in May was at a 12-month low of 4.75 per cent, marginally down from 4.83 per cent in April. The retail inflation or Consumer Price Index, in December last year was 5.7 per cent, and since has been moderating.
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Indian stock indices touched their fresh lifetime highs briefly after the opening bell Thursday, continuing their uptrend from the previous session, primarily due to a moderation in inflation in May - both in India and the US. Other domestic economic parameters too are robust.
The CPI for May showed an annualized increase of 3.3 per cent, a modest deceleration from April's 3.4 per cent, falling short of economists' expectations that it would remain steady.