Petrol and diesel prices are likely to fall by 40-50 paise in next 4-5 days, ET Now reported citing oil ministry sources. The FOB prices of petrol and diesel have softened in the international market. The softening of international prices may further lead to reduction in fuel rates, CNBC reported citing an oil ministry spokesperson. Meanwhile, today the oil marketing companies (OMCs) slashed the petrol rates by 11 paise in Delhi after keeping them unchanged on Sunday. The petrol is available at Rs 76.84 per litre in Delhi today. In Kolkata and Mumbai too, petrol prices are Rs 79.51 and Rs 84.22. In Chennai, the prices are Rs 79.76, data sourced from IOC app showed.
Oil prices fell on Monday as concerns about supply disruptions eased and Libyan ports resumed export activities, while traders eyed potential supply increases by Russia and other oil producers.Brent crude futures were down 26 cents, or 0.4 percent, at $75.07 a barrel at 0057 GMT. U.S. West Texas Intermediate (WTI) crude was down 27 cents, or 0.4 percent, at $70.74 a barrel.
#Exclusive | Oil Min Sources: Petrol and diesel prices likely to fall by 40-50 paise in next 4-5 days@Tyagi_Parisha @dpradhanbjp pic.twitter.com/NjDjjA3RPi
— ET NOW (@ETNOWlive) July 16, 2018
Supply outages in Libya and strike action in Norway and Iraq pushed oil prices higher late last week, although prices still ended down for a second straight week. “Crude oil prices fell as fears of supply disruptions eased. News that Libya’s state oil producer had restarted output from a major oil field ignited the selloff earlier in the week,” ANZ Bank said in a note.
The market focus shifted towards possible supply increases, even as a Norwegian union for workers on offshore oil and gas drilling rigs stepped up a six-day strike. Russia and other major oil producers may increase output further should supply shortages hit the global oil market, Russian Energy Minister Alexander Novak said on Friday.
Stephen Innes, head of trading for Asia/Pacific at futures brokerage OANDA, said U.S.-China trade tensions “should subside this week and could be a possible plus for oil prices,” but a possible sale of U.S. oil reserves would weigh on prices.