Falling crude oil price drags Indian oil companies’ shares down, but airlines’ stocks fly

Falling crude oil price drags Indian oil companies’ shares down, but airlines’ stocks fly

Shares of India’s oil exploration companies as well as those of refining and marketing companies fell sharply on Wednesday following a slump in the global crude oil prices, but aviation companies stocks rose at the same time on hopes of cheaper jet fuel.

The state-run Oil and Natural Gas Corp — India’s largest exploration and production company — fell as much as 2.2% to Rs 165 on BSE today. Its smaller peer Oil India Ltd — another state-run oil producer — also fell by about 1.9% and made the day’s low of Rs 289.85 so far.

On the other hand, stocks of oil refiners fell too, despite the prospects of fall in costs of their further purchases of crude oil, as concerns prevailed over losses on sale of products from their existing inventory built up at higher prices earlier. Read More…

 

Credit By : Financial Express

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