Crude Price Drop Triggers Gains in Crude-Sensitive Stocks

Shares of companies sensitive to crude oil prices rose significantly on Monday after Brent crude prices fell sharply. The Brent crude price declined by 5.1% to $83.4 per barrel, following US President Donald Trump's announcement that talks with Iran would take place.

This drop in crude oil prices is considered positive for India, which imports most of its crude oil requirements. Oil marketing companies such as Bharat Petroleum Corporation Ltd (BPCL), Hindustan Petroleum Corporation Ltd (HPCL), and Indian Oil Corporation (IOC) saw their shares gain between 1% to over 2%.

Other sectors that benefited from the lower crude prices include aviation, paint, tyre manufacturers, and food delivery companies. InterGlobe Aviation, the parent of IndiGo, rose more than 4%, while Eternal and Swiggy gained up to 1.5%. Asian Paints and Kansai Nerolac also saw gains.