International oil prices jumped to the highest level since 2014, topping $87 a barrel but domestic petrol and diesel prices remained unchanged for the 74th day in a row – a freeze that may be linked to ensuing assembly elections in states like Uttar Pradesh and Punjab.
Brent – the key global oil benchmark – soared to $87.7 per barrel mostly due to rising geopolitical tensions and supply-side disturbances due to Yemen’s Houthi group’s attack on oil facilities in the United Arab Emirates. Also, global inventories are waning.
The attack, some analysts believe, may lead to more hostile behaviour between the two power centres in the Middle East – Iran and Saudi Arabia.
