 "Oil & Gas shares gain; Petronet LNG, Gail (India), ONGC hit 52-week high")
Shares of oil & gas companies were trading firm in otherwise range-bound market with Oil and Natural Gas Corporation (ONGC), Petronet LNG and Gail (India) hitting their respective 52-week highs on the BSE in intra-day trade.
Petronet LNG (up 5% at Rs 398), Gail (India) (4.4% at Rs 432) and ONGC (2% at Rs 278) were up between 2%-4% on BSE in intra-day trade.
Bharat Petroleum Corporation (BPCL), Hindustan Petroleum Corporation (HPCL), Indian Oil Corporation (IOC) and Oil India were up in the range of 1%-3%.
At 12:45 pm, the S&P BSE Oil & Gas index, the largest gainer among the sectoral indices, was up 2.4% or 281 points at 12,197, as compared to 0.25% rise in the S&P BSE Sensex.
According to Reuters report, Oil prices edged up supported by record Indian crude imports and upcoming talks between OPEC producers and other oil exporters on curbing output to end a glut in the global market.
India's oil imports rose 4.4% in September from the previous month to a record high 4.47 million barrels per day (bpd) as the country expanded its refining capacity to meet growing fuel demand in an expanding economy, shipping data showed. CLICK HERE TO READ FULL REPORT.
Petronet LNG (up 5% at Rs 398), Gail (India) (4.4% at Rs 432) and ONGC (2% at Rs 278) were up between 2%-4% on BSE in intra-day trade.
Bharat Petroleum Corporation (BPCL), Hindustan Petroleum Corporation (HPCL), Indian Oil Corporation (IOC) and Oil India were up in the range of 1%-3%.
At 12:45 pm, the S&P BSE Oil & Gas index, the largest gainer among the sectoral indices, was up 2.4% or 281 points at 12,197, as compared to 0.25% rise in the S&P BSE Sensex.
According to Reuters report, Oil prices edged up supported by record Indian crude imports and upcoming talks between OPEC producers and other oil exporters on curbing output to end a glut in the global market.
India's oil imports rose 4.4% in September from the previous month to a record high 4.47 million barrels per day (bpd) as the country expanded its refining capacity to meet growing fuel demand in an expanding economy, shipping data showed. CLICK HERE TO READ FULL REPORT.
Analysts at Edelweiss Securities do not expect a sharp rally in oil price post the successful negotiation of output freeze by the Organization of the Petroleum Exporting Countries (OPEC) majors.
“The upcoming OPEC meeting in November will be crucial and keenly watched. Reduction in domestic gas price by 20% with effect from October 2016 will impact ONGC, but benefit city gas players. Benign imported LNG price (long term and spot) will be beneficial for all gas utilities in general. GAIL’s cyclical segments of LPG and petrochemical will benefit from steady oil price and benign feedstock, while higher transmission volumes and tariffs will benefit the core transmission performance,” the brokerage house said in Q2 results preview.
“The upcoming OPEC meeting in November will be crucial and keenly watched. Reduction in domestic gas price by 20% with effect from October 2016 will impact ONGC, but benefit city gas players. Benign imported LNG price (long term and spot) will be beneficial for all gas utilities in general. GAIL’s cyclical segments of LPG and petrochemical will benefit from steady oil price and benign feedstock, while higher transmission volumes and tariffs will benefit the core transmission performance,” the brokerage house said in Q2 results preview.