US-Iran Crossfire Drives Up Oil Prices, Fuel Rates Remain Unchanged in India
The recent US-Iran crossfire in the Hormuz Strait has led to increased tensions in the region, causing global supply concerns and driving up oil prices. Brent crude futures closed at their highest level since July 24, with a gain of 7.6% over the past week.
Despite the renewed military exchanges between the US and Iran, India's state-run Oil Marketing Companies (OMCs) have kept fuel rates unchanged for domestic customers, aligning with the 25 May price adjustment when petrol and diesel were increased by ₹2.7 to ₹2.8 per litre respectively.
The dynamic fuel price method used in India means that petrol and diesel prices are revised daily at 6:00 AM but remain steady even after marginal changes. This has led to stable commodity prices for the past three months, despite significant fluctuations in global energy prices.