International Crude oil prices continue to slide, fall below $80
However, the prices of fuel -- petrol, diesel, LPG and CNG -- in India remain unchanged.
New Delhi, JUne 17: The downslide in international crude oil prices continues, with the rates dropping to $78.24 per barrel today, the lowest since March 3, three days after the Iran war started.
Early today, futures for Brent crude due for delivery in August dipped nearly 1 percent on Wednesday, extending declines of about 5 percent on each of the previous two days.
The international benchmark stood at $78.24 a barrel as of 08:00 GMT.
However, the prices of fuel — petrol, diesel, LPG and CNG — in India remain unchanged.
The international prices of crude oil have been dropping over the last three days after the United States and Iran confirmed reaching an in-principle peace deal, to be signed on June 19.
The announcement of the peace deal has raised hopes about free flow of energy through the Strait of Hormuz, the critical channel for movement of fuel globally, which has remained closed for more than 3 months due to the Iran war.
Trump, while announcing that the peace deal would be signed on June 19, said the Strait of Hormuz would open completely after that.
The full reopening of the strait would be a major step towards restoring confidence in energy supply chains after nearly four months of turmoil arising from the war.
More than 500 vessels are estimated to be waiting to exit the Gulf through the strait while the process of ensuring the channel is free of naval mines is likely to take weeks at a minimum.
According to Stephen Cotton, General Secretary of the International Transport Workers’ Federation, the signing ceremony of the US-Iran Peace Deal, scheduled to take place in Geneva, Switzerland, would be “at best the beginning” of a process of normalisation.
“The backlog of stranded vessels and the need for crew changes and rest mean a realistic return to normal shipping patterns is weeks, if not months, away,” Cotton said in a statement on Monday. (BVI)
