The Reserve Bank of India(RBI) raised the key policy rate by 25 basis points

The Reserve Bank of India (RBI) is likely to maintain its hawkish stand and further increase key policy rate up to January 2012 to tame inflationary pressures, say experts. The Reserve rate increase by RBI may have some impact on economic growth.

Importance of stocks

A stock is a small share that represent a partial ownership of a company. Stock or issued by companies to raise capital every stock is limited to a particular number of shares. Investors buy stocks with the belief that the company will grow continuously or two raise the value of the share. Accruing stock from a new company is consider more risky then buying shares from well-established company but only those company which are list on public exchange like the New York Stock Exchange (NYSE) or the National Association of Securities Dealers Automated Quotation system (NASDAQ)  are capable for stock trading. The share from the companies listed on public exchange can we bought and sold on open market. The stock market is one of the most important source for companies to raise money. This allows business to be publicly traded or raise additional financial capital for expansion by selling share of ownership of the company in public market.

Reduction about stock prices

To know about the future stock prices there are some important points which is helpful to predict the stock prices.

1. Be aware of all the news which is related to market you would be very much carefull about the company condition whose stocks you wish to buy.
2. Good stock research is key thing to get success in the stock market.
3. Study about the chart pattern is very important for those who are interested in stock trade. Chart pattern help to understand the weakness and strengthen of the stock to predict to future price targets.
4. Observe the volume of stock on a daily basis and calculate the percentage rise or fall in the increase volume trade.

RBI sells US Dollors

RBI (Reserve Bank of India) sells US dollors to save the rupees from a sharp slide as investors fled for safety amide crisis in Europe.

RBI hike repo rate to eliminate  to inflation accelerator it makes credit costly. According to C. Rangarajan there is no other option for RBI. Housing price raise upto 15 to 20 percent. Automobile and housing loan became costly.

According to Union Finance Minister Pranab Mukherjee RBI hike rate only to control the inflation.

Dairying an Instrument of Social and Economic Change

Milk production in India is dominated by small and marginal landholding farmers and by landless labouers who, in aggregate, own about 70 percent of the the national milch animal herd. These farmers; maintain an average  herd of one or two milch animals, comprising cows and or buffaloes. The animals nutritional requirements are largely met by agricultural waste and bye products. Ample labour and a small land base encourage farmers to practice dairying as an occupation subsidiary to agriculture. While income from crop production is seasonal, dairying provides a stable, year-round income, which is an important economic incentive for the small-farmer to take to dairying. It is not surprising that the small farmer to take dairying. It is not surprising that the small farmer and the landless labourer are more often than not victims of moneylenders and of natural calamities.Dairying as subsidiary source of income, is a real relied to most of these weaker; froups in society. Often one two milk animals enables these farmers to generate sufficient additional income to break the vicious subsistence agricultural-debt cycle. Dairying is an economic activity, which evens out cash flows to households, in contrast to income from crops, which comes only at the end of a season. Further, dairying provides for an indirect income insurance against risks from crops, such as crop failure due to drought or pests.

Organised Dairy Units

Over 70 percent of the milk produced in our country is by small, marginal and landless farmers. There are about 100 million farm holdings in our; country. There are nearly 70 million households who maintain a milk herd of 108 million heads of cattle i.e. 64 million cows and 44 million buffaloes, engaged in milk production, of which more than 10 million are in the cooperative sector. Livestock reargin including dairying is not only a source of employment and income, but is also a storehouse of wealth, an asset that often helps tide over inforeseen demands for liquid cash. Medium and large holdings with a holding size of over 4 hectares account for only 8.8 percent of the total holdings. 77.4 percent of the farm holdings i.e. 77 million holdings posses lank sizes less than 2 hectares. Income from dairying contributes nearly a third of the rural households gross income, and in the case of landless wage earning households, nearly a half.

Contribution to GDP

Agriculture contributes to the GDP ( Gross Domestic Product) to the extent of 25 percent of which one fourth is through livestock products. With 13 percent of world trade being global, India has immense potential to be a partner in world trade. A growth rate of 4.5 percent has been achieved by the dairy sector during the past decade as compared to the 2 percent growth recorded by the agricultural sector as a whole. In fact, an annual production of 12000 million tonnes of milk can be achieved by the year 2010, only if the growth rate is kept at a rate of not less than 5.5 percent. Efforts must be made to bring about substantial increases in productivity to the tune of 12 - 15 kg for crossbreds, 5 - 8 kg for indigenous cows and 8 - 12 kg for buffaloes. Dairy sector ranks first among the individual agriculture commodities in terms of total value of production. The value of milk and its products is 70000 crore rupees and that of dairy industry as a whole is 105000 crore rupees.