Petrol, Diesel Prices Hold Steady Despite Global Crude Oil Price Drop

Petrol and diesel prices in India remained steady on September 3, despite a decline in global crude oil prices. The international prices of Brent crude eased to $95.10 a barrel, while US West Texas Intermediate (WTI) crude slipped to $90.66. This drop was attributed to easing geopolitical tensions following US President Donald Trump's comments downplaying the possibility of a prolonged conflict with Iran.

The state-run oil companies in India have maintained broadly stable domestic fuel rates for about three months under the dynamic pricing system. Since the last major revision on May 25, when petrol became costlier by around Rs 2.70 per litre and diesel by Rs 2.80 per litre, retail fuel prices have largely remained unchanged.

BOK Financial Securities senior vice president Dennis Kissler noted that 'the latest escalation should keep support under the market,' but also suggested that more peace talks could lead to a quick deflation of prices.