Fuel Price Cut: Shareholders disappointed on relief to the public due to reduction in prices of petrol and diesel, sharp fall in OMC stocks

This decision of Modi government has seen a sharp decline in the shares of HPCL, BPCL and Indian Oil Corporation. HPCL shares slipped nearly 10 percent. But after the market closed, it recovered from the lower level and closed at Rs 468.85 with a decline of 6.25 percent. BPCL stock fell 3.66 percent to close at Rs 586.45 and IOC stock fell 5.49 percent to close at Rs 161. Due to the fall in these stocks, there was a sharp decline in the Nifty Energy Index. 

Brokerage house advised to sell shares 

Brokerage firm Prabhudas Lilladher, in its report issued on oil and gas, has advised investors to sell shares of HPCL, BPCL and Indian Oil. They believe that the GMM of oil marketing companies will reduce to Rs 5 per liter on petrol and Rs 1 per liter on diesel.  

Crude oil prices remain at risk 

Pramudas Leeladhar said in his report that fuel prices have been reduced in view of the big elections. Oil marketing companies have reduced the prices of petrol and diesel by Rs 2 per liter. According to Pramudas Leeladhar, he believes that true deregulation will be possible only when fuel prices are in his favor. This thinking is also because the current global political risk continues which is giving rise to uncertainty in crude oil prices. 

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