It was 7.57 per cent in the week before and 6.01 per cent in the year-ago period. It had last touched a high of 7.76 per cent on November 6, 2004.

The government, which has been rolling out one measure or other almost every week to arrest and ultimately push down inflation, on Monday banned futures trading in four more farm commodities to stop speculation from feeding prices.

"We are in the process of persuading cement companies to roll back prices. If that succeeds, that will also be an administrative step," Chidambaram said, adding that the government's assessment was that inflation was "stable."

While key steel producers have taken the cue and cut prices, cement maker ACC yesterday announced it would freeze prices for 2-3 months, while some others have already cut or are in the process of holding the price-line.

On the impact of the initiatives taken by the government and Reserve Bank on prices, Chidambaram said: "When the steps come together and take effect, there will be moderation... One must have faith that these steps will yield results."

The government has so far announced measures that carry a revenue implication of Rs 6,300 crore to contain inflation, while Reserve Bank has increased the percentage of cash banks should keep in reserve (CRR) to tighten money supply.

Crisil Principal Economist D K Joshi told PTI that a weakening rupee against dollar and rising crude oil prices (hovering near USD 124 a barrel) were playing spoilsport in containing inflation.

With the strengthening of the dollar in the last few weeks, imports have become costlier and it is partly reducing the impact of the reduction in custom duties, he said.

Commodities used by common man, including tea, fruits and vegetables, condiments and spices, cereals, eggs, meat and fish were also dearer during the week.

Among the manufactured products, cement prices went up by 0.2 per cent, aluminium ingots by six per cent and other aluminium materials by four per cent, while iron and steel prices declined by 0.1 per cent.

Former RBI Governor Bimal Jalan, MP, said: "We may have a growth rate of 7.5-8 per cent, I do not care. But inflation has to come down to five per cent... we must be able to take decisions which are hard" to soften demand.

Others, however, suggested a more guarded response.

"There is a little danger of over-reaction. We need to have patience. We are over-reacting to inflation," renowned economist and author Arvind Panagariya said.

In this context, international trade expert Jagdish Bhagwati said a ban on futures trading in some commodities to tame inflation did not make any sense - a view already voiced by Forward Markets Commission Chairman B C Khatua.

Standard & Poor's South and Southeast Asia head R Ravimohan said he expected inflation to moderate to 5-5.5 per cent by the end of December.

"We are as concerned as everyone else. That's why we are taking steps. Every week there is a roll out of some steps or the other. If necessary more steps will be taken," Chidambaram said.

Talking to reporters after the hearing, Nanavati said he was satisfied with the replies of both the players, "I asked the players what I wanted to ask. I was satisfied with their replies. You will come to know when the report comes out."

"I talked to Harbhajan for one hour and 15 minutes and 30 minutes with Sreesanth. They were quite friendly during the hearing," the advocate added.

Harbhajan and Sreesanth had arrived here to appear before the BCCI-appointed commissioner Sudhir Nanavati, who would conduct the hearing into the slap-row involving the two players.

The hearing was scheduled to begin at 1400 hrs at the Gujarat Law Society building.

Nanavati had said that he was shocked after viewing the video footage of the incident, which took place after an Indian Premier League (IPL) match at Mohali between Mumbai Indians and Kings XI Punjab.

Harbhajan has already been banned for rest of the IPL series after match referee Farokh Engineer found him guilty of slapping Sreesanth.

Nanavati, an Ahmedabad-based lawyer has already recorded the statements of umpire Amish Saheba and Engineer.

He was appointed under the rule 32 of the BCCI under which the board president has the power to appoint a commissioner to assist its disciplinary committee.

The report submitted by Nanavati will be refereed to the BCCI disciplinary committee after board president Sharad Pawar goes through it.

The committee will then decide on the action to be taken against the player.