Crude Oil Price Today: On Wednesday, October 28, there was a rise in the prices of crude oil in the international market. Brent crude rose to around $115.36 per barrel, while US WTI crude was trading at $101.12 per barrel. These figures are from Wednesday’s early market report; Prices may change during trading.
Impact of claim of attack on Saudi Arabia’s refinery
A major reason for the rise in oil prices is the claim of attack on Saudi Arabia’s largest oil refinery. Yemen’s Houthi group said on Tuesday that it targeted the refinery with a missile. This refinery has the capacity to process 5.5 lakh barrels of oil daily.
However, according to initial reports, Saudi officials did not confirm the attack at the time. Therefore, this should be seen as a claim of attack rather than a confirmed incident. There is a possibility that oil supply may be affected due to increasing tension in West Asia, which may impact international prices.
Crude oil prices had fallen a day ago
Earlier on Tuesday, diplomatic talks had reduced the concerns regarding supply. After this, the price of Brent crude fell by about $ 1.93 to $ 113.88 per barrel. American WTI crude also fell by about $ 1.86 and closed at $ 99.90 per barrel.
The rise in prices on Wednesday shows that the market remains sensitive to news related to West Asia. The direction of oil prices in the coming days will depend on how much tension in the region increases and whether there is a real impact on supply or not.
Will petrol and diesel become expensive in India?
Due to cost of crude oil in the international market, the cost of oil import may increase for India. This may also affect the value of rupee against dollar, cost of oil companies and inflation. However, crude becoming expensive in the international market does not mean that the prices of petrol and diesel in India will increase immediately.
The decision on domestic fuel prices depends on many factors. Therefore, it would not be right to reach any definite conclusion at this time regarding the change in the prices of petrol and diesel.
What will affect the prices of crude oil in future?
The market will keep an eye on the developments in West Asia, possible interruption in oil supply, US crude oil reserves and the decisions of the producing countries. Decisions regarding production targets in the proposed meeting of OPEC+ can also affect prices.