New Delhi, 29 April (H.S.): Crude oil prices showed no signs of relief in international markets due to ongoing West Asia tensions and reports of intensified US blockade in the Strait of Hormuz. Brent crude crossed $115 per barrel today, while West Texas Intermediate (WTI) crude surged past $104 per barrel.
Brent opened at $110.62 per barrel, marginally down 0.64 dollars from Tuesday's close. It maintained an upward trajectory through the trading session, reaching $115.61 by 5 PM IST before a slight pullback. By 6 PM IST, Brent traded at $115.49 per barrel, up 4.23 dollars or 3.80 percent.
WTI crude opened weaker at $99.23 per barrel, down 0.70 dollars, briefly dipping to $98.42 before rebounding sharply. It hit $104.32 by 5 PM IST and settled at $104.09 per barrel by 6 PM IST, reflecting a 4.16-dollar or 4.17 percent gain.
June Brent futures closed at $111.26 per barrel, up 3.03 dollars or 2.8 percent—the seventh consecutive daily gain. June WTI futures settled at $99.93 per barrel, higher by 3.56 dollars or 3.70 percent.
Experts attribute the spike to delays in the second round of US-Iran peace talks and news of expanded US naval presence in the Strait of Hormuz. A complete blockade would halt oil supplies through this vital chokepoint, threatening energy security for India and global markets.
The conflict, erupting late February, has crippled Persian Gulf oil and gas exports. The US maintains a blockade to pressure Iran, while Tehran seeks to close the strait to international traffic.
Approximately 20 percent of global oil and gas transits Hormuz, and its near-closure has triggered market chaos. Since the US-Israel-Iran clashes began, crude prices have risen 55-60 percent.
The rally threatens India's growth trajectory, potentially widening the current account deficit and fiscal targets while weakening the rupee, fueling inflation, and accelerating foreign capital outflows. Stock markets face uncertainty as the government grapples with subsidy burdens, interest rates, and exchange rate pressures.
State-owned oil marketing companies face mounting losses, absorbing international price hikes without adjusting domestic petrol and diesel rates, further eroding their financial health.
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Hindusthan Samachar / Jun Sarkar
