Fuel Prices Hold Steady in India as Global Oil Markets React to US Strike
While major Indian cities see mostly unchanged retail fuel rates, international oil prices edge upward following a military strike on Iran.
Petrol and diesel prices remained largely unchanged across major cities in India, while global oil markets experienced a slight uptick following a United States military strike on Iran's Qeshm Island. In New Delhi, petrol held steady at Rs 102.12 per litre, and diesel was priced at Rs 95.20 per litre. Meanwhile, Mumbai recorded retail rates of Rs 111.21 per litre for petrol and Rs 97.83 per litre for diesel.
Among major urban centers surveyed, Bengaluru stood out as the sole city to report a price reduction, with petrol and diesel dropping by Rs 0.75 and Rs 0.76 per litre, respectively. Other metropolitan areas, such as Kolkata, Chennai, Hyderabad, and Jaipur, maintained their previous price points. In Hanumangarh, petrol prices remained stable at Rs 114.15 per litre, supported by steady domestic supply and demand dynamics.
The relative calm in local retail markets coincided with renewed volatility on the international stage. Oil prices edged higher in early Asian trading after reports indicated that American forces had targeted Qeshm Island. The military action revived market concerns regarding potential disruptions to energy shipments through the Strait of Hormuz, a critical maritime corridor that handles a significant portion of worldwide crude oil and natural gas supplies.
US officials described the operation as a defensive measure aimed at safeguarding commercial vessels navigating the volatile region. The reported strike reintroduced a geopolitical risk premium into the energy sector just as markets were beginning to price in prospects of a diplomatic resolution. Despite ongoing talks facilitated by Qatari mediators, negotiations have yet to yield a breakthrough between Washington and Tehran.
Benchmark Brent crude futures rose 0.03 percent to $104.80 per barrel, while US West Texas Intermediate crude increased 0.18 percent to $96.63 per barrel. These modest gains followed a sharp sell-off in the prior session, during which Brent dropped 7.63 percent. Analysts note that sustained high energy prices pose ongoing challenges for importing nations like India, where elevated crude costs risk driving up imported inflation and straining industrial input expenses.
Meanwhile, governments in other regions are actively adjusting fiscal strategies to manage fuel costs heading into the winter season. In Kenya, Treasury Cabinet Secretary John Mbadi announced that the government intentionally preserved its fuel stabilisation fund during the October review to prepare for potential price spikes in November and December. Increased energy demand from European nations entering winter prompted authorities to hold back funds so they can be deployed as subsidies to cushion local consumers during the upcoming pricing cycle.