 "Oil marketing companies jump on decline in crude prices")
Shares of all three listed state-owned oil marketing companies – Bharat Petroleum Corporation (BPCL), Hindustan Petroleum Corporation (HPCL) and Indian Oil Corporation (IOC) are trading higher between 1-3% on BSE after Brent crude dropped to $48.44 a barrel.
Brent crude oil futures edged higher after big losses in the previous session, after China took steps to pour fresh liquidity into the world's second-biggest economy to spur activity. Brent for March settlement was up 50 cents at $54.66 a barrel. The contract had slumped $3.75 a barrel to settle at $54.16 a barrel during the previous trading session.
The lower crude oil prices will help reduce oil marketing companies' under-recoveries.
Meanwhile, state-run fuel retailers on Tuesday reduced petrol price by Rs 2.42 per litre and diesel by Rs 2.25. The revision marks the tenth straight cut in petrol since last August and sixth in diesel rates since October. The petrol price is lowest since September 2010, while diesel is cheapest since March 2013.
Among the individual stocks, HPCL has rallied 2% to Rs 612 on BSE. BPCL up 3% to Rs 743, while IOC up 1% at Rs 339 at 11.15 AM.