| Indian crude basket price below $50/bl |
| Price cut talk triggered |
| BS Reporters / New Delhi January 18, 2007 |
| The price of the Indian crude oil basket breached the psychologically important level of $50 per barrel mark yesterday triggering expectations of a price cut in auto fuel. The Indian oil basket was at $49.85 on Wednesday, the latest day for which data is available. This is the lowest level in the current financial year, and sharply below the record high price of $75.20 per barrel on August 8, 2006. Petroleum Minister Murli Deora discounted the one-day movement of price below $50, and said prices must "stabilise" at these levels for a month to trigger a price review. A price review meeting has nevertheless been fixed for January 31. The view was, however, not supported by the industry. |
