NEW DELHI: Oil prices jumped more than 5% on Tuesday after OPEC’s warning that it would be impossible to replace Russian oil exports if sanctions were imposed, dashed hopes of easing prices on the grouping’s downward revision of 2022 demand forecast.
The market, immediately turned edgy, with benchmark Brent rebounding nearly $104 per barrel. The emerging scenario of a choppy market and high prices do not augur well for India, which depends on imports to meet 85% of its oil demand, as high oil prices will slow down economic recovery.
State-run retailers kept fuel prices stable for six days now as oil fell below $100 a barrel. Petrol and diesel prices had risen by more than Rs 10 in 16 days since March 22 when state-run retailers began raising prices after a gap of 137 days since November 4 last year.
