New Delhi, July 29 -- The Indian economy's scorecard weakened in June as consumer demand moderated and inflation climbed above the Reserve Bank of India's (RBI) 4% target.

After a strong start to the first quarter, spending on cars, tractors and air travel lost momentum in June, while food prices accelerated. The moderation was visible across both urban and rural consumption indicators, making it important to watch whether the slowdown proves temporary or persists in the months ahead.

Production activity, meanwhile, remained firm. Core-sector growth improved and labour-intensive exports returned to double-digit growth, suggesting the softer consumption reading has not yet translated into weaker production or external demand.

Data from ...