US-Iran peace deal: How are falling crude oil prices likely to impact petrol, diesel prices? (opens original article in a new tab)

Brent crude prices edged higher on Friday but remained on track for a weekly decline of nearly 8% due to a US-Iran ceasefire agreement, while falling oil prices may not immediately reduce Indian petrol and diesel prices as oil marketing companies focus on recovering losses.

• Brent crude prices rose 0.53% to $80.38 per barrel on Friday but fell nearly 8% for the week due to a US-Iran ceasefire agreement
• Crude oil prices dropped 40% from $120 per barrel after tensions eased, with expectations of increased Iranian oil exports
• OMCs face profitability pressure due to excise duty rollback and under-recoveries from previous high crude prices
• Retail fuel prices in India may not drop immediately despite lower crude prices as OMCs focus on recovering losses
• Sustained crude price declines and stable crude baskets are needed for potential retail price reductions in India
• Government may delay passing on crude price benefits to consumers to manage fiscal deficit