Crude oil prices soared more than 3% on Tuesday, reaching Rs 9,707 per barrel in futures trade. The rise came after US President Donald Trump questioned the durability of the Iran ceasefire, sparking concerns of potential disruptions in West Asia’s oil supplies.
On the Multi Commodity Exchange, May delivery crude oil appreciated by Rs 331, while June contracts rose by Rs 278 per barrel. In international markets, Brent oil increased by $3.02 to $107.23 per barrel as analysts noted heightened geopolitical tensions in the Strait of Hormuz, a vital oil transport route.
The market is eyeing US inflation data and Trump’s meeting with China’s Xi Jinping for further cues. Analysts speculate these could affect the trajectory of the Iran conflict, given China’s role as Tehran’s largest oil customer.
(With inputs from agencies.)