Crude oil prices have again seen an increase on Monday.
Even though Iran and the US have agreed not to attack each other, tension has once again arisen between the two countries in the Middle East. Earlier missiles were fired from both sides. Due to which once again the peace agreement between the two countries appeared to be limited to pages only. Due to this tension, shipping on the Strait of Hormuz again appeared to be decreasing. Due to which there was an increase in the prices of crude oil. The price of crude oil from Gulf countries was seen crossing $73 and American crude was seen crossing $70 per barrel. According to experts, fluctuations in crude oil prices continued in the coming days.
On the other hand, there has been no change in the prices of petrol and diesel in India. It has been more than a month since there was a rise in the prices of petrol and diesel. According to experts, there has been a significant decline in the prices of crude oil in the month of June. Prices have fallen by more than $20 per barrel. Even after that, the prices of petrol and diesel have not decreased in India.
Unless the compensation for the losses of petroleum companies is reduced, there will be no impact on the prices of petrol and diesel. Let us also tell you what the price of crude oil has become in the international market. Will it affect the pockets of the people of India or not?
Crude oil prices rise
An increase in oil prices was seen on Monday. In fact, there were attacks once again between America and Iran in the Middle East. Due to which the weakness of the interim peace agreement between them was exposed and the shipping of energy in the Strait of Hormuz slowed down again. Brent crude futures rose 53 cents, or 0.74 percent, at $73.15 a barrel.
Whereas US West Texas Intermediate crude is trading at $ 69.94 per barrel with an increase of about one percent. Whereas during the trading session, the price of American crude also reached the day’s high at $ 70.79 per barrel. Brent crude fell 10.6% last week (this was the third consecutive weekly decline).
This happened when the shipping of crude through this strait had reached its highest level since the US-Israeli conflict with Iran started in February. However, traffic has slowed since Thursday following renewed attacks on ships in the strait. These also include an oil tanker belonging to Qatar. Due to these attacks, tension increased between America and Iran and both attacked each other.
This tension was the highest since the signing of the interim peace agreement. ANZ analysts said in a note that the market is likely to reconsider its assumption that oil supplies from the Persian Gulf will be restored quickly. Iran and the US have agreed to end recent tensions in the Gulf and resume talks in Qatar over their dispute over the Strait of Hormuz, limiting the rise in oil prices.
Saudi Aramco also started loading
Saudi Arabia’s major oil company Aramco on Friday resumed loading of crude oil at its Ras Tanura terminal located west of the Strait of Hormuz. This work was stalled for about four months. There was a race to ship cargo after Middle East producers increased oil and gas production and exports ahead of the interim agreement, in which Aramco also joined.
ANZ analysts said that even though the US-Iran deal is a turning point for oil markets, the actual movement of oil is limited due to tanker congestion, damaged infrastructure and production shutdowns. It may take the rest of the year to bring supplies closer to pre-conflict levels.
On Sunday, a company helicopter crashed at Aramco’s Ras Tanura terminal located in the Gulf area on the east coast of the country, killing 14 people. Despite this, loading work continued at the terminal. According to the government news agency, the cause of the crash has not been known.
No change since 35 days
There has been no change in the prices of petrol and diesel in India for 35 days. The last increase in the prices of petrol and diesel was seen on 25th May. According to experts, the way crude oil prices are falling, it is estimated that the freeze button will remain pressed on the prices of petrol and diesel. The price of petrol and diesel in Delhi is Rs 102.12 and Rs 95.20 per liter respectively.
The price of petrol in Kolkata is Rs 113.51 and the price of diesel is Rs 99.82 per liter. In Mumbai, the prices of petrol and diesel are seen at Rs 111.21 and Rs 97.83 per liter respectively. Whereas in Chennai the price of petrol has come to Rs 107.77 and diesel to Rs 99.55 per liter. However, in the month of May, there was an increase of 7 to 8 percent in fuel prices.
