Nomura predicts India's retail inflation rate may exceed the central bank's 6% tolerance ceiling again due to sticky pulses and cereal prices, leading policymakers to raise the inflation target in August. Nomura expects headline inflation to increase to 6%-6.5% in July and August from June's 4.8%, before settling in the 5%-6% range in the remainder of the fiscal year FY24. Nomura also pushed back the rate cut chances by the RBI's Monetary Policy Committee to February next year.