OMCs gain on hopes of fuel price deregulation

Oil Marketing Companies (OMCs) have jumped in morning trades on hopes of a roadmap for fuel price deregulation in the Union Budget to be declared later in the day.

The recently unveiled Kirit Parikh report also suggested a complete deregulation of petrol and diesel prices. The move, if it goes through, can help the state-run OMCs to trim their losses. In the July Budget also the Finance Minister had spoken of moves to deregulate fuel prices.

BPCL gained 2.5% to a high of Rs 281 after opening at Rs 574. The stock is now trading with a gain of 2% at Rs 579. Around 14,000 shares have been traded so far.

HPCL opened at Rs 356 and jumped to a high of Rs 363 (up 2.2% from it previous close). The stock is now trading at Rs 361 - up Rs 6 or 1.7%. The counter has seen trades of 25,000 shares on the BSE so far.

Indian Oil (IOC) is trading with a gain of 2.2% at Rs 329. The stock had opened at Rs 323. Around 55,000 shares have changed hands at the counter so far.