Indian Inflation rate crosses 11 %, stock market may fall more

June 20, 2008



According to recent report Indian Inflation crossed 11%. No One can guess what is the actual reason for rise in inflation in such a rate. The major effect of Inflation is on the poor people.

Poor people are only struggling for good and sufficient foods. But major portion of high inflation is due to rise price of food items. Poor people have to struggle more to get food for at least two times a day.

The rice in food item may be because more and more people leaving the agriculture and moving toward the city to earn more money.

Their is no hope for stock market to move up with this inflation rate. BSE will soon see SENSEX in the range of 12000-13000.

It seems that inflation rate will go down son because of good monsoon.

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