0426 GMT - Faster price increases in India, driven by costs of food and oil and rising core inflation, strengthen the case for a shallow rate-hiking cycle, Nomura analysts Sonal Varma and Aurodeep Nandi say in a note. Consumer prices rose 4.8% on year in August from 4.5% in July, while core inflation accelerated to 4.2% from 3.9%. The bank now expects 50 bps of rate hikes in 4Q, with the Reserve Bank of India raising rates in October and December. Nomura has raised its fiscal 2027 inflation forecast to 5.1% from 4.6%, above the central bank's 5.0% projection.