Shares of oil mktg cos nosedive as rupee breaches 60-mark

Written by Press Trust of India | Mumbai | Updated: Jul 31 2013, 21:10pm hrs
Oil mktgShares of oil mktg cos nosedive as rupee breaches 60-mark
Led by HPCL, shares of oil marketing companies today slumped by as much as 11.3 per cent as the rupee breaching the 60-level against US dollar triggered concerns that import of crude oil would become costlier.

HPCL shares tanked 11.25 per cent to Rs 198.80, while

BPCL was down 8.95 per cent to Rs 309.70 on the BSE.

Shares of IOC also nosedived 8.33 per cent to Rs 195.35.

"Oil marketing companies such as HPCL was down over 11

per cent, BPCL and IOC down 9 per cent each. These companies import large quantities of crude oil and rise in USD/INR rates makes it expensive to do that," said Nagji K Rita, Chairman & MD, Inventure Growth & Securities.

Rupee fell below 60-level to a dollar after around three

weeks and closed at 60.48, down 1.79 per cent. On July 8, it

had touched all-time low of 61.21 to a dollar. Meanwhile, the broader market was also weak with the BSE

benchmark Sensex plunging 244.94 points to 19,348.34.