Crude prices declined on Thursday as the market is assessing diplomatic efforts between Washington and Tehran for the US-Iran peace talks; however, Trump’s denial keeps the market volatile at the same time.
On Wednesday, Sept. 30, both Brent crude and West Texas Intermediate crude settled with gains of around $1 per barrel each. However, today, on Oct. 1, Brent crude Oct. futures are trading around $97.36 per barrel, losing around 0.7%, while WTI has shed almost 1% and is currently trading at $89.57 per barrel.
Having said that, Brent crude ended September with a monthly gain of 14%, the highest monthly jump since July, while WTI gained around 5% during the month.
Even though international crude prices remained volatile over the months, domestic fuel prices have been kept unchanged by the state-run oil marketing companies. On Thursday, Oct. 1, petrol and diesel prices across major cities in India remained the same as the OMCs continue to absorb the price shocks going on in the global oil space.
Petrol prices on October 1
Petrol price in Delhi: Rs 102.12/litre
Petrol price in Kolkata: Rs 113.51/litre
Petrol price in Mumbai: Rs 111.21/litre
Petrol price in Chennai: Rs 107.77/litre
Petrol price in Hyderabad: Rs 115.69/litre
Petrol price in Bengaluru: Rs 110.89/litre
Diesel prices on October 1
Diesel price in Delhi: Rs 95.20/litre
Diesel price in Kolkata: Rs 99.82/litre
Diesel price in Mumbai: Rs 97.83litre
Diesel price in Chennai: Rs 99.55/litre
Diesel price in Hyderabad: 103.82/litre
Diesel price in Bengaluru: 98.80/litre
What Drives Petrol and Diesel Prices?
Apart from crude prices in the global market, state-run oil marketing companies need to consider multiple other factors like the rupee-dollar exchange rate, refining costs, taxes, and dealer margins to determine domestic fuel prices, which is why domestic fuel prices do not change on a daily basis according to the daily movement in the international crude prices.
