While Sensex dropped over 400 points today on negative cues from the global markets, the oil-marketing companies gained on the bourses.
State-run Bharat Petroleum Corporation (BPCL) closed at Rs 357.95, up 8.67 per cent, Hindustan Petroleum Corporation (HPCL) closed at Rs 236.55, up 4.51 per cent and Indian Oil Corporation (IOC) closed at Rs 446.60 up 2.30 per cent on the Bombay Stock Exchange on Friday.
"The OMCs performance is purely in line with market expectation with the crude oil prices cooling off. Looking at the current slowdown, if oil touches a low of $ 80 per barrel, it will have a very positive effect on the OMCs and the Indian economy," said Jayprakash Sinha, Head, Institutional Equity, Mangal Keshav Securities.
The state-owned oil-marketing firms, which sell petroleum products at a subsidised rate, will reduce their daily loss to below Rs 350 crore per day from the current Rs 400 crore per day.
Crude oil price fell to $106 on New York Mercantile Exchange on Friday.
Oil has fallen more than 7 per cent this week. Crude oil prices are down 27 per cent from the record $147.27 it reached on July 11.
