All eyes on OPEC+ meeting on 1st April as Oil prices fluctuate

Petrol, Diesel Prices slashed for the 2nd consecutive day in India

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Biznextindia : India’s oil marketing companies (OMC) on Thursday slashed Petrol and Diesel prices for the second consecutive day.

While, petrol price has been cut by 20 paise per litre, Diesel has become cheaper by 21 paise. In Delhi, Petrol is being sold at Rs.90.78 and Diesel is being sold at Rs. 81.10.

OMCs believed to have reduced the rate following a drop in international crude oil prices. Brent Crude oil prices for May contract dropped by 1.38% to USD 63.53 a barrel from USD 69.63 in March 11.  WTI Crude (April Contract) slipped by 1.65 % to USD 60.17 per barrel and Indian basket also dropped by 1.07% to USD 62.71 per barrel.

OPEC may extend production curb beyond April

The fluctuation in the Crude oil price may continue for some more time due to several factors like fresh round of lockdowns in the European Union (EU), concerns on the safety of the Astra Zeneca vaccine and blockage of the crucial Suez Canal by a giant container vessel.

The critical energy route has been thrown into turmoil after the vessel ran aground on Tuesday, blocking oil and other container in both directions. While, the vessel is likely to stuck for another two days which is enough to disrupt oil flows across the west.

In this backdrop, all eyes are on the OPEC and Non-OPEC Ministerial meeting scheduled to be held on 1st of April through video conferencing. According to ‘oilprice.com’ OPEC+ may decide to continue with the output curb to keep oil prices steady.

Saudi Arabia, the world’s largest oil exporter, had announced in January that for February and March, it would voluntarily cut additional 1 million barrels/day from its quota. In the March meeting, OPEC+ had decided to extend the output curb to April.

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