Oil prices moved higher on Friday as tensions between the United States and Iran in the Strait of Hormuz remained in place. Markets pushed upward, though gains eased later amid possible negotiations between Washington and Tehran to end the conflict.
Brent crude futures settled at $101.29 per barrel, up $1.23, or 1.23 per cent, after climbing as much as 3 per cent during the session.
US West Texas Intermediate (WTI) futures closed at $95.42 per barrel, up $0.61, or 0.64 per cent.
Meanwhile, Indian state run oil marketing companies are said to be incurring under recoveries of nearly 1,000 crore per day- as LPG, petrol and diesel remain frozen despite of the crude oil prices surging. The mounting losses are piling pressure on the balance sheets of Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd. (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL), even as the government continues to shield consumers from the global energy shock.
“Our oil marketing companies are buying expensive raw oil, gas and LPG from the market. But to protect our consumers, they are selling at low prices,” Sujata Sharma, joint secretary, ministry of petroleum and natural gas, said on Friday.