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State-owned fuel retailers Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) absorbing the impact of elevated global energy prices will lead to heightened margin and cash-flow volatility, Moody's Ratings said on Wednesday. "Domestic retail prices of fuels have remained largely steady since April 2022, despite swings in global oil and gas prices and the country's high dependence on imports," Moody's said in a note. "The companies will bear rising input costs from higher energy prices without corresponding increases in selling prices because the government's influence over retail pricing prevents timely cost pass-throughs." The three firms control nearly 90 per cent of retail fuel outlets in the country. Global benchmark Brent crude rose sharply and hit a high of USD 119 per barrel on March 9 before settling just under USD 90 the following day, reflecting a heightened geopolitical risk premium. However, retail pump r
Panic enquiries for domestic LPG cylinders have risen at several gas agencies in Bengaluru in the past few days amid concerns over supply disruptions due to the widening West Asia conflict, though dealers said on Wednesday that stocks are adequate as of now. However, there is an acute shortage of commercial LPG cylinders, forcing several hotels and restaurants in the city to operate under strain, an LPG dealer told PTI. Hotel and restaurant owners reiterated that they would be forced to shut down once their stock is exhausted. A representative of Indane distributor, Sri Giridhar Agencies, said there has been no disruption in the supply of LPG cylinders for domestic use. "Every day we have been receiving loads. There is no disruption in supply. However, we have been getting numerous panic calls from customers enquiring whether there is sufficient stock. Calls for bookings have also gone up," the representative, who did not wish to be identified, said. He assured customers that adeq
A joint Iranian military command said on Wednesday that banks and financial institutions are now a target in the Middle East. The Khatam al-Anbiya Headquarters issued a statement identifying the targets. It came after Iranian media reported staff at a bank in Tehran had been killed in Israeli-American airstrikes. The threat would put at risk, particularly Dubai, in the United Arab Emirates, which is home to many international financial institutions, as well as Saudi Arabia and the island kingdom of Bahrain.
Two Iranian drones hit near Dubai International Airport on Wednesday, wounding four people, though flights continue, authorities said. The Dubai Media Office, which issues statements on behalf of the city-state's government, said the attack caused "minor injuries to two Ghanaian nationals and one Bangladeshi national, and moderate injuries to one Indian national." It said flights continued. Dubai International Airport, home to the long-haul carrier Emirates, is the world's busiest for international travel. Authorities have been trying to build up their flight schedule, though the airport has been targeted in the war.
Speculation over the health of Iran's Supreme Leader Ayatollah Mojtaba Khamenei grew Wednesday after the son of Iran's president mentioned hearing news about him "being injured". Mojtaba, 56, is the son of the late Supreme Leader Ayatollah Ali Khamenei. He long has been a secretive figure within Iran. His father and wife both were killed in an Israeli airstrike Feb 28 that started the war. Mojtaba has not been seen since, nor has he given any statement since becoming supreme leader on Monday. In an overnight post on the app Telegram, Yousef Pezeshkian, the son of President Masoud Pezeshkian, wrote: "I heard news about Mr Mojtaba being injured. I asked friends who were in contact. They said, thank God, he is healthy and there is no problem." He did not elaborate.
A projectile hit a cargo ship Wednesday in the Strait of Hormuz, setting the vessel ablaze after the United States targeted Iranian minelaying vessels that could target the narrow mouth of the Persian Gulf. The United Kingdom Maritime Trade Operations centre, run by the British military, said the vessel had been hit just north of Oman in the strait. It said the crew was evacuating the ship. Iran did not immediately claim the attack though it has been targeting ships in and around the strait, disrupting a waterway that sees a fifth of all oil and natural gas traded pass through it. The UKMTO earlier reported on another attack targeting a vessel off Ras al-Khaimah in the United Arab Emirates.
Amid escalating tensions in the Middle East and the resulting disruption in gas supplies, the Uttarakhand government has begun preparations to provide firewood for commercial use if required. Uttarakhand Forest Minister Subodh Uniyal said the current situation resembles a crisis scenario. "With war-like conditions prevailing in several Middle Eastern countries, a shortage of gas cannot be ruled out," he said. To address the situation, instructions have been issued to the Uttarakhand Forest Development Corporation to ensure the availability of wood so that businesses can use it as an alternative fuel in case the gas shortage worsens. The government on Tuesday rejigged the allocation of LPG production, CNG, and piped cooking gas, which will take precedence over all other sectors using natural gas to ensure an uninterrupted supply for households and transport sectors. As the widening West Asia conflict disrupted 30 per cent of India's gas supply, the oil ministry, in a gazette ...
Israel and Iran exchanged fire early Wednesday as Tehran kept up its pressure on the region's oil industry, hitting a ship in the Strait of Hormuz and targeting infrastructure as concerns grew of a global energy crisis. Iran has effectively stopped shipping traffic through the narrow strait off its coast, through which about a fifth of the world's oil is shipped from the Persian Gulf toward the Indian Ocean. It has also been targeting oil fields and refineries in Gulf Arab nations as part of a strategy that appeared to be aimed at generating enough global economic pain to pressure the United States and Israel to end their strikes. Early Wednesday, Kuwait said its defences had downed eight Iranian drones over the oil-rich nation and Saudi Arabia said it had intercepted five drones heading toward the kingdom's vast Shaybah oil field. A projectile hit a container ship off the coast of the United Arab Emirates in the Strait of Hormuz. The United Nations Security Council was to vote la
Foreign portfolio investors' (FPI) bets in Fully Accessible Route (FAR) government securities have declined by about Rs 4,634 crore since the start of the Middle East conflict, reflecting growing caution among overseas investors amid rising crude oil prices, a weakening rupee and rising bond yields. Data from the Clearing Corporation of India Ltd (CCIL) showed that total FPI investment in FAR securities stood at about Rs 3.26 lakh crore on Tuesday, down from Rs 3.31 lakh crore on February 27, before the conflict began. The selling pressure has emerged as global markets reacted sharply to escalating tensions in the Middle East, which have triggered a spike in crude oil prices and volatility in emerging market assets. Brent crude prices have surged past USD 100 per barrel and were trading around USD 108 per barrel, raising concerns about inflationary pressures and India's external balance. At the same time, the rupee weakened sharply to below 92 against the US dollar, while the ...