The state-run oil marketing companies have cut the fuel prices for the second consecutive day across major cities on Friday. While the petrol prices declined by 7 paise per litre, diesel prices decreased by 12 paise per litre across Delhi, Mumbai, Kolkata and Chennai. In Delhi, petrol and diesel are selling at Rs 71.73 and Rs 66.51 respectively. Yesterday, while petrol was selling at Rs 71.80 per litre, diesel was selling at Rs 66.63 per litre in the national capital. On Wednesday, the petrol and diesel prices remained unchanged across all the four cities.
In Kolkata, petrol and diesel are selling at Rs 73.79 a litre and Rs 68.27 a litre respectively, according to Indian Oil Corporation website. In Chennai, petrol is being sold at Rs 74.46 a litre, 7 paise less than yesterday’s price, whereas for diesel people need to shell out 12 paise less for one litre of diesel, as it is selling at Rs 70.31 per litre. In Mumbai, while petrol is costing Rs 77.34 a litre, diesel is retailing at Rs 69.69 per litre. Diesel and petrol prices have been slashed by 7 paise and 12 paise respectively.
India imports 80 per cent of its oil needs and it is the third largest importer of Iranian oil. The crude oil prices eased on Thursday amid smaller-than-expected dip in US inventories and global slowdown concerns. The international benchmark for oil was last seen at $66.14 a barrel, 73 cents lower than the previous close, while the US WTI was at $56.04 a barrel, down 55 cents from the last settlement.
Crude oil is likely to trade in the range of Rs 3845-4239 per barrel on Friday. Crude oil dropped on fears of a global economic slowdown due to a U.S.-China trade war. The US crude oil inventories fell less than forecast last week, but still marked an end to two previous unexpected builds. Russia will consider a possible extension of its oil output reduction agreement with the OPEC and other producers. South Sudan has begun oil production at one of its northern oil fields for the first time in five years, adding 5,000 barrels of output per day, according to Kedia Advisory.