Friday, May 27 2005 13:03 Hrs (IST) - World Time -

New Delhi: Continuing its downward spree for the third consecutive week ended May 14; inflation ticked 5.55 per cent despite costlier food and fuel products.

The widely tracked point-to-point Wholesale Price Index (WPI) inflation fell from the previous week's level of 5.61 per cent and it was 4.96 per cent in the year ago period since the prices of tea, vegetables and edible oils had fallen.

Finance Minister P Chidambaram had recently said there were pressures on inflation front due to huge money supply and spiralling global crude oil prices and vowed to keep a check on rise in the general price level.

WPI rose by 0.1 per cent to 192.1 points even as heavy weighted manufactured products' prices remained unchanged. The index was 182 points in the year ago period.

Oil Public Sector Units (PSUs) have not so far raised the prices of petroleum products, a move, which analysts fear, could spurt inflation, while Petroleum Ministry has been asked to rework the hike in petrol, diesel, LPG and kerosene prices to avert the cash loss in keeping with the capital investment requirement.

During the week in review, world oil prices had sunk to around $ 48 a barrel owing to rising supplies in the US and slower demand from China.

Government revised upwards inflation to 5.45 per cent during the week ended March 19 as compared to the provisional estimate of 5.11 per cent.

The WPI stood corrected at 189.7 points during the second week of March against provisional level of 189.1 points.