New Delhi: Crude oil prices were under pressure on Tuesday as the European Union (EU) continued to resist its pressure to impose sanctions on energy imports from Russia.
The European Union on Monday failed to enlist Hungary in backing a proposed ban on imports amid Russia’s invasion of Ukraine.
At 0105, Brent’s July contract on the Intercontinental Exchange was trading at $114.17, down 0.06% from its previous close. West Texas Intermediate futures fell 0.28% to $113.88 a barrel on the NYMEX.
Ravindra Rao, head of commodity research at Kotak Securities, said disappointing Chinese economic data, along with the EU’s struggle to reach a consensus on the proposed ban on Russian oil imports, had an impact on prices.
According to official data, China’s April retail sales fell 11.1% from a year earlier, while industrial output fell 2.9%.
Rao expects that the volatility in crude oil prices will continue in the future as well.
Meanwhile, the domestic retail fuel prices have remained unchanged for more than the last 40 days. Petrol pump price in Delhi is 105.41 per liter, and diesel sales 96.67 per liter.
The last time prices were increased by 80 paise per liter on 6 April. Cumulatively, petrol and diesel prices increased 10 per liter during 22 March-6 April amid rising international oil prices.
High crude oil prices have an impact on the Indian economy as the country imports 80% of its energy requirements. India’s crude oil basket of Oman, Dubai and Brent grades stood at $107.81 per barrel on May 13.