According to reports, the government plans to slash fuel prices as crude oil prices fell to a nine-month low.
Shares of India’s state-run oil marketing companies — Hindustan Petroleum Corporation Ltd. (HPCL), Bharat Petroleum Corporation Ltd. (BPCL), and Indian Oil Corporation Ltd. (IOC) — are trading with losses of over 2 per cent on Friday.
Read More:- Zomato’s Deepinder Goyal announces ‘dark mode’; netizens impressed — ‘Now, at 11 pm when I order pizza…’
According to reports, the government plans to slash fuel prices as crude oil prices fell to a nine-month low.
Oil prices have plummeted to their lowest levels since January, improving the profitability of Oil Marketing Companies (OMCs) and giving room to provide relief to consumers, Business Today said quoting sources. The move is also seen in the light of the upcoming Maharashtra and Haryana Assembly elections.
Inter-ministerial talks are on and we are closely monitoring global developments, according to a Business Today report.
Read More: Tech Industry Hit By Mass Layoffs: Intel, Cisco, IBM, And Apple Cut Over 27,000 Jobs
Crude Oil At A 9-Month Low
US crude oil fell more than 1 per cent on Wednesday, tumbling below $70 per barrel and raising speculation that OPEC+ could delay production increases scheduled to begin next month whereas the Brent crude oil prices fell by $1 a barrel to $72.75.
The return of Libyan oil to the market, along with the OPEC+ group’s decision to reverse voluntary production cuts starting in October, and increased output from non-OPEC sources, have all contributed to the downward pressure on prices. Goldman Sachs predicts oil prices will fluctuate between $70 and $85 per barrel.
For the week, Brent was on track to drop nearly 8%, while WTI was headed for a decline of almost 6%.
Read More: Gold Rates Today (06-09-24): Check Top City Wise Gold Prices In India
Earlier in August, oil prices fell by more than a dollar and Brent settled at a seven-month low after fears of a US recession sparked a global market sell-off, though prices later recovered on worries of escalating conflict in the Middle East.
On Thursday, Brent again settled at a more than one-year low as worries about US and Chinese demand offset support from a big withdrawal from US oil inventories and the decision by OPEC+ to delay planned oil output increases.
Read More: Petrol, Diesel Fresh Prices Announced: Check Rates In Your City On September 6
OPEC+ agreed to delay a planned oil production increase for October and November, the producers group had said, adding that it could further pause or reverse the hikes if needed.
