Inflation to moderate, says Goldman

MUMBAI: Goldman Sachs expects inflation to moderate by the end of the year, as food prices could stabilise.

Goldman Sachs MD and head of global economic research Jim O���Neil said, ���We forecast inflation will go down.

If food prices do not rise, inflation will not go up further.������ Goldman Sachs feels that the current rise in food prices could be temporary and a good monsoon could improve supplies.

Commenting on India���s growth, Mr O���Neil said that it sees a moderate slowing down of growth. But India, along with other BRIC economies, has been contributing to a bigger share of the global economic output.

He advised that investors in Indian and Chinese stocks should take the route through Western economies. They have the expertise of MNCs which have invested in these markets.