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PSU OMCs extend prior session's gains on fall in crude oil prices

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Capital Market
Last Updated : Jan 12 2017 | 12:01 AM IST

Shares of three public sector oil marketing companies rose 0.53% to 1.99% at 11:30 IST on BSE after crude oil prices dropped in the previous session.

HPCL (up 1.99%), BPCL (up 0.64%) and Indian Oil Corporation (IOCL) (up 0.53%) edged higher.

HPCL, BPCL and IOCL had gained 3.26%, 0.86% and 1.08%, respectively, in the preceding session.

The S&P BSE Sensex was up 143.01 points or 0.53% at 27,043.21.

Lower crude oil prices could decrease under-recoveries of public sector oil marketing companies (PSU OMCs) on domestic sale of liquified petroleum gas (LPG) and kerosene at controlled prices. The government has already freed pricing of petrol and diesel.

In global commodities markets, Brent for March 2017 settlement was up 10 cents at $53.74 a barrel. The contract had dropped $1.3 a barrel or 2.36% to settle at $53.64 a barrel during previous trading session.

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Crude oil prices edged up today, 11 January 2017, lifted by a small supply cut by crude exporter Saudi Arabia, but markets remained under pressure from signs that the planned Organization of the Petroleum Exporting Countries' (OPEC) output reductions were being poorly implemented and as supplies from elsewhere rose.

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First Published: Jan 11 2017 | 11:33 AM IST

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