Saudi oil attack: Petrol, diesel rates may increase by Rs 5-6

MUMBAI: With global crude oil prices rising due to heightened geopolitical risks after Saturday’s drone strike at Saudi Arabia’s oil facilities, Indian consumers can expect a Rs 5-6 rise in petrol and diesel prices for every $10-per-barrel rise in global crude prices. Such an increase could be effected by oil marketing companies (OMCs), like Indian Oil, BPCL & HPCL, with a lag of a fortnight, a report by Kotak Institutional Equities warned.
In reaction to Saturday’s strike at world’s largest oil producer, in early trade on Monday, Brent crude price shot up by nearly 20% to over $71 per barrel, while WTI crude on the New York Mercantile Exchange rose nearly 20% and touched $63.3. However, later in the day the prices of the two types of crude gave up some of their early gains. In the evening, Brent was trading at $66.6 and WTI at $60.5, both up by over $6 per barrel from their respective Friday close.