Oil Prices Gain As Storm Disrupts Exports; Petrol, Diesel Price Revised In Indian Cities, Check New Rates Here

Oil prices extended gains on Wednesday as a storm in the Black Sea region caused disruption in oil exports from Kazakhstan and Russia, raising concerns over supply issues, while investors were in a wait-and-watch situation ahead of a crucial decision by OPEC+, which may deepen or extend production cuts.

Brent crude futures rose 0.4%, at $82.01 per barrel as of 0127 GMT, while US WTI crude futures jumped 0.6%, to $76.86 per barrel.

The two benchmarks gained around 2% on Tuesday on possibilities that OPEC+ allies will extend or deepen supply cuts, concerns over Kazakh oil production, and a softer US dollar.

According to a Reuters report citing state officials and port agent data, a severe storm in the Black Sea region has disrupted up to 2 million barrels per day (bpd) of oil exports from Kazakhstan and Russia.

Kazakhstan's largest oilfields are reportedly slashing combined daily oil production by 56% from the November 27 level.

OPEC+ is scheduled to hold an online ministerial meeting on November 30 to discuss 2024 production targets, after postponing the meeting from November 26.

There are expectations that a rollover of the earlier agreement is likely instead of deeper output cuts.

Meanwhile, a decline in US crude inventories and softer US Dollar have also supported oil prices.

On Wednesday, the dollar hovered near a three-month trough against its major peers on rising expectations that the Federal Reserve could start lowering interest rates by early next year.

One must note that a weaker dollar usually supports oil prices as it makes oil less expensive for holders of other currencies.

Meanwhile, , according to market sources citing American Petroleum Institute figures, U.S. crude oil inventories declined by 817,000 barrels last week.

Are Rising Oil Prices A Concern For India:?

Rising oil prices can pose a significant challenge to India, as the country mostly depends on imports to fulfill its energy needs. If the country spends more on buying oil from other countries, it will impact its Current Account Deficit (CAD). Thus, rising international crude oil prices raise the specter of a higher CAD for India. A current account deficit is when the value of goods and services imported by a country exceeds its exports.

Check New Updates Petrol and diesel In Your City Today

In the national capital Delhi, the price of one litre of petrol and diesel is Rs 96.72 and Rs. 89.62 respectively.

1 litre of Petrol in Bangalore is retailing at Rs 101.94, while the same quantity of diesel is selling at Rs 87.89 in the city.

In Noida, 1 litre of petrol costs Rs 96.64, while the price of the same quantity of diesel is Rs 89.82. One litre of Diesel in Gurgaon retails at Rs 89.65, while the cost of one litre of Petrol in the city is Rs 96.77.

In Chennai, 1 litre of Petrol is retailing at Rs 102.73, while the same quantity of diesel is selling at Rs 94.33 in the city.