Petrol Price: The strategic move by the US President has proven effective, resulting in a one-month ceasefire between Moscow and Kiev. This development is anticipated to lead to an increase in the supply of Russian crude oil in the international market, causing crude oil prices to drop below $71 per barrel. Experts predict that prices may further decline to around $70 per barrel, indicating a significant reduction in crude oil costs. Consequently, it is expected that petrol and diesel prices will also align with this downward trend in the near future.
Ceasefire between Ukraine and Russia
Goldman Sachs had projected that crude oil prices from Gulf countries would reach $71 by December 2025 and $66 by 2026. However, the recent ceasefire between Ukraine and Russia has sparked optimism that the conflict may come to a permanent resolution. Should this occur, the influx of crude oil is likely to increase, further driving down prices due to heightened supply.
Oil price in India
In India, despite the decrease in crude oil prices, petrol and diesel rates have not yet been adjusted. Experts suggest that the lower crude oil prices provide oil marketing companies an opportunity to recover from previous losses, as these companies have faced significant challenges recently.
Following the announcement of the one-month ceasefire between Russia and Ukraine, crude oil prices have begun to decline, fueled by expectations of increased Russian oil supply in the global market. As of now, Brent crude from Gulf countries is priced at $70.44 per barrel, reflecting a decrease of 12 cents or 0.2 percent. Meanwhile, US West Texas Intermediate Crude (WTI) has fallen by 15 cents or 0.2 percent to $66.75. Analysts anticipate that further reductions in crude oil prices may occur in the coming days.
Conversely, there has been no change in petrol and diesel prices in India. The rates for these fuels in the four major metropolitan areas remain unchanged, as observed on Tuesday. Notably, in all but Delhi, petrol prices exceed Rs 100, while diesel prices are above Rs 90 in Kolkata, Mumbai, and Chennai.