Oil Prices Near $110, Sending Airline and Oil Stocks Plummeting

Oil prices surged to new highs, nearing $110 a barrel, causing shares of airlines, oil marketing companies (OMCs), paint and tyre makers to plummet.

The Middle East supply concerns drove up Brent crude futures by 1 percent to $108.68 a barrel in early Asian trade, with US West Texas Intermediate crude gaining 1 percent to $103.45 a barrel.

Airlines were among the biggest losers, with SpiceJet shares dropping 4.6 percent to Rs 8.48 and InterGlobe Aviation (IndiGo) declining 1.7 percent to Rs 4,861.50.

Oil marketing companies like Hindustan Petroleum Corporation (HPCL), Bharat Petroleum Corporation (BPCL), and Indian Oil Corporation (IOC) also traded lower, falling between 0.5 to 3.1 percent.