Fuel prices on January 23: Check petrol, diesel rates in Delhi, Mumbai and other cities

The expected surge in demand comes as the market braces for further sanctions on Russian oil

Petrol and diesel prices held steady across metro cities on January 23, the latest price notification issued by fuel retailers showed.

Petrol and diesel in Delhi cost Rs 96.72 per litre and Rs 89.62 a litre, respectively. In Mumbai, petrol is being sold for Rs 106.31/litre and diesel for Rs 94.27/litre.

Petrol and diesel are priced at Rs 102.63/litre and Rs 94.24/litre in Chennai and at Rs 106.03/litre and Rs 92.76/litre in Kolkata, respectively.

Oil prices drifted lower in early trade on January 23, thinned by the Lunar New Year holiday in east Asia, but held on to most of last week's gains on the prospect of an economic recovery in top oil importer China this year.

Brent crude futures retreated by 46 cents, or 0.5 percent, to $87.17 at 0031 GMT, while US West Texas Intermediate (WTI) crude futures fell 40 cents, also down 0.5 percent, to $81.24 a barrel.

Last week Brent rose 2.8 percent, while the US benchmark logged a 1.8 percent gain.

Data shows a solid pick-up in travel in China after COVID-19 curbs were eased, ANZ commodity analysts said in a note, pointing to a 22 percent jump in road traffic congestion so far this month from a year earlier in the country's 15 key cities.

International Energy Agency head Fatih Birol on January 20 said energy markets could tighten this year if the Chinese economy rebounds the way financial institutions expect.

"I wouldn't be too relaxed about the markets, and 2023 may well be a year where we see tighter markets than some colleagues may think," Birol told Reuters, speaking on the sidelines of the World Economic Forum annual meeting in Davos.

The jump in China's traffic ahead of the Lunar New Year holiday bodes well for fuel demand after the two-week vacation.

"The expected surge in demand comes as the market braces for further sanctions on Russian oil," ANZ analysts said. Read more

(With inputs from Reuters)