India Waits as The Price of Crude Oil Falls in America

The cloud of doubts in the world has dragged the crude oil Brent crude down to 88.50 dollars per barrel. American crude oil WTI fell to 82.79 dollars. Then the question arose, when will the state-owned oil companies deliver this benefit of reducing the cost of imports to the people of the country? For the last four months, the price of crude oil in the world market has been going up and down. Overall, it was down about $24 as of Monday, the statistics show.

Zero changes in the price of oil in India

But the price of petrol and diesel in India has remained stagnant for four months this month. However, the opposition camp claims that the Modi government can take advantage of this favorable situation. Assembly polls are coming up in Gujarat. They can claim credit for reducing prices during the festive season.

Crude Oil
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Crude oil prices rose slightly during the night. Brent continues to hover around $91. WTI leaves $85.

Concerned parties complain that Brent has been below $100 for quite some time. Sometimes it comes down to 90 dollars. But there is no sign of lowering the price of petrol and diesel. However, if the price increases in the world market, it affects the country in the blink of an eye. The Congress attacked the Modi government recently after learning that India was importing oil at $88 (as per September 8 basket). They complain that oil prices are now controlled according to the date of the polls and not based on the global market rates. If not, petrol and diesel price should be reduced by 15 rupees per liter and cooking gas cylinder prices by at least 150 rupees.

Sources of the state-owned oil company, however, claim that they had to buy crude oil at high prices a few days ago. But the prices in the country were not increased to control inflation. As a result, they have incurred huge losses.

Statement of various firms

According to some brokerage firms, the US Federal Reserve may raise interest rates this week in a bid to curb inflation. Due to this, the country may fall into recession. There is also a risk of recession in Europe. These will affect the entire world economy. The dollar, considered a relatively safe currency, is likely to rise further. In such a situation, the price of crude oil is falling due to the fear of a decrease in demand.

Crude Oil
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Recently, the CMD of Bharat Petroleum Arun Kumar Singh said that there is little chance of petrol-diesel prices falling in the country unless the prices in the world market come down significantly. He claimed that crude oil was rising so fast (around five-seven dollars a day) that it was not possible to exchange prices in the country. The question of the concerned circles is, how long will the common people have to wait to get a solution to the fuel? Brent won’t start riding by then!