India's December inflation hits 8.43% year-on-year (by V. Phani Kumar)

HONG KONG (MarketWatch) -- India's inflation accelerated at a faster pace than expected in December, deepening worries that the central bank may have to take harsh tightening measures to cool soaring prices. The country's benchmark wholesale price index-based inflation jumped to 8.43% in December from 7.48% in November, according to preliminary figures released Friday. Estimates compiled by Reuters showed economists expected the December WPI figure at 8.35%. The government also revised the WPI reading for October to 9.12% from 8.58% earlier. The Indian rupee (C_INR) strengthened after the data, with the U.S. dollar buying 45.24 rupees from 45.14 rupees Thursday.