Moneycontrol's Shraddha Sharma talks to Ruchi Agrawal to understand the impact of falling oil prices on India and the outlook going forward.
Moneycontrol's Shraddha Sharma talks to M Saraswathy to understand how US-Iran tensions are impacting Indian insurers.
Trends on SGX Nifty indicate a negative opening for the broader indices in India, a loss of 55.5 points or 0.45 percent. Nifty futures were trading around 12,193-level on the Singaporean Exchange.
Rusmik Oza said if geopolitical concerns escalate market could take a breather, if not, the record highs are possible ahead of the Budget.
Any further rise in crude prices may have an impact on the fiscal deficit situation of India amid fall in rupee against the US Dollar.
Morgan Stanley foresees Brent oil prices would be at $60 per barrel for the rest of the year against an earlier forecast of $65
The focus will now shift to the OPEC bi-annual meeting in Vienna on June 25.
Markets are also eyeing the forthcoming OPEC meet on 6th December at Vienna, which will help them take a consensus on oil production cuts
HSBC said in its fourth quarter Global Economics outlook that "our oil analysts believe there is now a growing risk it (crude) could touch $100 per barrel".
With crude prices soaring and many currencies in emerging markets, including India's rupee and Indonesia's rupiah declining, analysts warn that economic growth may be eroded
Vineeta Sharma of Narnolia Financial Advisors said sanction on Iran and strong seasonal demand in October will too impact crude prices in the near term.
Ravindra V Rao of Anand Rathi Commodities said with uncertain results of the US midterm November elections, there is every chance that the yellow metal starts to appreciate in the last four months of 2018
Rising oil prices and falling dollar-rupee puts pressure on the current account deficit. Iran can bring in much needed relief, but for that India will have to stand up against the US diktat
A weaker US dollar makes oil, which is priced in dollars, less expensive to buyers in other currencies.
Brent is heading for a 2 percent decline this week, a third consecutive weekly drop. WTI is on track for a seventh week of losses, with a fall of more than 3 percent.
Hareesh V of Geojit Financial Services said immediate support for natural gas is placed at Rs 185 mmbtu and resistance at Rs 220 mmbtu
Commodity prices rallied sharply between February and May 2018, which was beneficial to companies which are directly linked with like metals and select oil stocks, but falling prices is generally good for companies which use these commodities as their raw material.
Crude prices weakened in recent days as OPEC member Libya reopened its ports in the east and U.S. Secretary of State Mike Pompeo said Washington would consider granting waivers to some of Iran's crude buyers.
Base metals are under pressure in the international market due to tight monetary policy of the Federal Reserve
Concerns like supply disruptions in Libya and Canada, US officials statement saying all countries should stop Iranian crude imports from November pushed crude oil prices higher.
Next OPEC meet in December would be the key as the current decision is applicable till end 2018 only.
The S&P BSE Sensex closed 95 points higher or 0.28 percent at 34,427.20 while the Nifty50 ended 39 points higher at 10,565 on Thursday.
HPCL was the biggest loser among Nifty50 stocks, falling up to 7 percent followed by BPCL and IOC with 5 percent losses.
OPEC projected that global demand for oil would rise to 98.6 million barrels per day in 2018, from 97.01 million bpd last year.
High oil prices mean India imports inflation which would give an already hesitant Reserve Bank of India an excuse to delay rate cuts further. The government would like lower oil prices especially since important states are going in for election.