Three public sector oil marketing companies rose by 2.06% to 2.99% at 9:45 IST on BSE after a sharp drop in crude oil prices.
Meanwhile, the S&P BSE Sensex was down 241.83 points or 0.86% at 27,850.96.
Among PSU OMCs, HPCL (up 2.26%), BPCL (up 2.99%) and Indian Oil Corporation (up 2.04%) edged higher.
In global commodities markets, Brent crude oil futures edged lower after Greece rejected austerity measures demanded in return for bailout money, increasing the chances of the country having to abandon the euro. Brent for August settlement was down 56 cents at $59.76 a barrel.
In the foreign exchange market, the rupee edged lower against the dollar. The partially convertible rupee was hovering at 63.62, compared with closing of 63.4375 during the previous trading session.
Lower crude oil prices could reduce under-recoveries of PSU OMCs on domestic sale of LPG and kerosene at controlled prices. However, a weakness in rupee against the dollar will restrict the benefit of falling global crude oil prices to that extent. A weak rupee raises the cost of imports. The government has already freed pricing of petrol and diesel.
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