Petrol and diesel prices continued to surge as the price of petrol rose by 5 paise and that of diesel by 12 paise across all major cities.
So today, a litre of diesel costs Rs 72.14 in Mumbai, and Rs 68.79 in Delhi, while a litre of petrol is priced at Rs 81.33 in Mumbai, and Rs 75.74 in Delhi. Retail prices of the two automobile fuels are revised daily. Petroleum companies revise petrol and diesel prices on the basis of crude prices in the international market. Hence the prices vary according to the company.
This is the sixth straight day of increase in retail pump prices. Oil prices surged, gold hit a more than six-year high and equities tumbled Monday amid escalating US-Iran tensions after the US assassination of commander Qasem Soleimani. US President Donald Trump on Sunday warned of a “major retaliation” against Tehran after it threatened revenge for the killing.
Brent futures rose as much as 3.1 per cent, or USD 2.14, to USD 70.74 per barrel while West Texas Intermediate advanced 1.7 per cent to USD 64.10 on the New York Mercantile Exchange. Crude was at this high level on September 2019, when Saudi production facilities were attacked, knocking out about 5 per cent of global output.
The deepening crisis continued to spill over to other markets – stock indices from Japan to Hong Kong fell. In India, Sensex plummeted 787.98 points to end at 40,676.63 while Nifty tanked 233.60 points to close at 11,993.05. Also, gold surged to the highest in more than six years. India is 84 per cent dependant on imports to meet its oil needs and any spike in global prices has a direct bearing on its economy. Not just imports but even domestic crude oil — which forms the raw material for making petrol, diesel and other petroleum products — is priced according to international benchmarks.
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