The state-run oil companies have cut the petrol prices for the sixth consecutive day and diesel prices for the second consecutive day across major cities on Tuesday.
The state-run oil companies have cut the petrol prices for the sixth consecutive day and diesel prices for the second consecutive day across major cities on Tuesday. While the petrol prices declined by 13-14 paise per litre, diesel prices decreased by 7-8 paise per litre across Delhi, Mumbai, Kolkata and Chennai. In Delhi, petrol and diesel are selling at Rs 72.86 and Rs 66 a litre respectively. Yesterday, while petrol was selling at Rs 72.99 per litre, diesel was selling at Rs 66.07 per litre. In Kolkata, petrol and diesel are selling at Rs 75.50 a litre and Rs 68.19 a litre respectively, according to Indian Oil Corporation website. In Chennai, petrol is being sold at Rs 75.66 a litre, 14 paise less than yesterday’s price, whereas for diesel people need to shell out 7 paise less for one litre of diesel, as it is selling at Rs 69.71 per litre.
In Mumbai, while petrol is costing Rs 78.48 a litre, diesel is retailing at Rs 69.17 per litre. Diesel and petrol prices have been slashed by 7 paise and 13 paise respectively. Prices of both petrol and diesel increased just after the Finance Minister Nirmala Sitharman in the Union Budget 2019-20, announced Jul 5 that it would levy additional excise duty of Rs 2 per litre. While the road infra cess of Re 1 will go to the road ministry for infrastructure, the special duty of Re 1 will go to the government’s revenue department.
The crude oil prices soared on Tuesday amid expectations of rate cut by the US Federal Reserve this week. The international benchmark for oil was last seen at $64.04 a barrel, 33 cents higher than the previous close, while the US WTI was at $57.17 a barrel, up 30 cents from the last settlement.
“Crude oil is likely to trade in the range of Rs 3,814-3,970 per barrel on Tuesday. Crude oil gained as supply risks are still a concern as tensions remained high around the Strait of Hormuz. Russian oil production has recovered to an average of 11.099 mbpd in the period July 1-25, up from 11.05 million bpd for July 1-21. But growth outside the U.S. is slowing faster, due partly to the impact of the US-China trade war. US energy companies last week reduced the number of oil rigs operating for a fourth week in a row, putting the rig count down for an eighth consecutive month,” Kedia Advisory said in a note.