New Delhi: Shares of oil marketing companies surged on Friday, with HPCL climbing over 6 percent, amid a sharp decline in crude prices.
The stock of Hindustan Petroleum Corporation Ltd jumped 6.30 percent, Bharat Petroleum Corporation Ltd surged 5.54 percent and Indian Oil Corporation climbed 4.91 percent on the BSE.
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Brent crude, the global oil benchmark, dropped 3.98 percent to USD 86.78 per barrel.
Other oil-sensitive pockets such as aviation and paints were also in the limelight. Shares of SpiceJet surged 7.30 percent and InterGlobe Aviation edged higher by 4.59 percent.
Among paints manufacturers, Indigo Paints rallied 4.64 percent, Shalimar Paints advanced 2.33 percent, Asian Paints went up by 2.06 percent and Berger Paints ended marginally higher by 0.05 percent.Other oil-sensitive pockets such as aviation and paints were also in the limelight. Shares of SpiceJet surged 7.30 percent and InterGlobe Aviation edged higher by 4.59 percent.
Among paints manufacturers, Indigo Paints rallied 4.64 percent, Shalimar Paints advanced 2.33 percent, Asian Paints went up by 2.06 percent and Berger Paints ended marginally higher by 0.05 percent.
Crude oil prices tanked nearly 4 percent, trading below USD 90 per barrel in global markets after US President Donald Trump declared that his country has ended the war with Iran.
"Oil-sensitive pockets such as aviation, paints, tyres, and cement witnessed strong buying interest following the decline in crude oil prices," Ajit Mishra – SVP, Research, Religare Broking Ltd, said.
US President Donald Trump said that a deal to end the war with Iran is nearly complete and is expected to be signed over the weekend in Europe, as he called off military strikes on the Islamic Republic hours after threatening to take control of its oil industry.
Trump, speaking to reporters at the Oval office on Thursday afternoon, said Vice President J D Vance is expected to attend the signing ceremony which could take place in Europe as soon as this weekend.
Later, addressing a tele-rally in favour of Georgia Lt Governor Burt Jones, who is running for the post of Governor, Trump declared that the US has ended the war with Iran.
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"I don't know if you heard, but we ended the war with Iran today (Thursday), and they have agreed never to have a nuclear weapon, something that we insisted on. That was the whole purpose," Trump said.
Hariprasad K, Research Analyst and Founder, Livelong Wealth, said, "A major positive for India was the sharp decline in crude oil prices. As concerns around supply disruptions and Strait of Hormuz risks eased, oil prices corrected significantly. Lower crude prices directly benefit India by reducing import costs, easing inflationary pressure and improving the broader macroeconomic outlook."
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