Food price drop helps lower CPI

Falling food prices helped moderate inflation to 7.7 percent last month, but analysts believe there are worrying signs of upward pressure, given the continuous surge in oil prices and fresh influx of capital.

The consumer price index, a key gauge of inflation, fell below 8 percent for the first time in four months, according to the National Bureau of Statistics.

It came as food prices edged down 1.3 percent in May from the previous month.