new Delhi. Corona virus cases have started to increase once again worldwide. Due to which crude oil prices have gone down to a 5-month low. On the other hand, Libya has increased its production and in the coming days, a cut in production cut may be given by OPEC ++ countries. The sanctions on Iran will also be removed if Biden becomes US President. Which will bring more oil market. This means that the period of decline in the price of crude oil can be prolonged. The effect of which is certain to happen in India. According to experts, the prices of petrol and diesel may remain in lockdown for the next five months. That is, there is no possibility of any change.
Corona havoc on crude oil
Corona virus havoc on crude oil has started once again. Because of which the price has gone down to a 5 month low. In the international market, the price of West Texas Intermediate crude oil has come down to a 5-month low ie $ 35 per barrel. While the price of Brent crude oil has come down to $ 36.72 per barrel. Today, WTI is losing 3.63% and Brent crude oil is down by 3.22%. Let us tell you that in recent times, lockdown has been imposed in France, Spain, Germany and London once again due to Corona virus. Due to which the price of crude oil is falling.
Libya increased production of crude
On the other hand, despite the decrease in demand, production of crude oil towards Libya has increased. Which has reached 6,80,000 barrels per day. Libya is about to take this production further. According to foreign media reports, Libya is going to take its production to 1 million barrels per day. Due to which the price of oil in the international market may see a further decline.
OPEC ++ attitude will also be important
Libya is currently out of order for OPEC’s production cut. At the same time, OPEC ++ has ordered production cuts. Production is decreasing by 7.7 million barrels per day. Iraq, UAE and Kuwait have seen the lowest production. By the way, 3 months more production cuts have been indicated by Saudi Arabia and Russia. But it is too early to say how much will be agreed by the other members in this matter. According to experts, the upcoming OPEC ++ can cut the production cut.
Sanctions may be removed from iran
On the other hand, there is a US ban on Iran in the current regime. If Biden becomes US President, then all the sanctions will be lifted with the new deal with Iran. The effect of this is that Iran oil will also come in the market. Due to which the price of crude oil will fall further. Experts say that the availability of crude oil in the Iranian oil market will increase further. The reason is that Iran, like the rest of Gulf countries, is dependent on oil.
Petrol and diesel may remain in lockdown for five months
Ajay Kedia, director of Kedia Advisory, says Corona in Europe and the United States first wave and lockdown in January February. Corona and its lockdown began in India two months later. Now the second wave of corona virus has started in America and Europe. This means that the second wave of corona virus in India can also come around January. At the same time, many reasons are also being made regarding crew oil, due to which petrol and diesel prices can remain in lockdown till the month of March.
Petrol and diesel prices have not increased in India since 40 days
There has been no change in the price of petrol and diesel in the four major metros of India for one and a half months. First of all, if you talk about the price of diesel, the prices are seen stable after October 2. While talking about the price of petrol, there has been no change since 22 September. That is, if there is no change in the price of petrol and diesel by March 2021, then this figure will reach 6 months.