That inflation print will likely offer more scope for the Reserve Bank of India to continue cutting the interest rates.

India's consumer inflation rate likely eased to a more than six-year low of 3% in May thanks to a favourable base and a further moderation in food prices, a Reuters poll forecast, supporting last week's larger-than-expected interest rate cut.

The deceleration in prices has been driven by a sharp fall in food inflation, plus favourable base effects and muted rise in key household categories.