Oil prices climbed sharply on Thursday due to rising attacks on vessels in the West Asia and hurricane-related production shutdowns in the US, reviving fears of severe supply disruptions.
Underrecoveries reach Rs 8/litre on petrol and Rs 9/litre on diesel in September
Stocks to watch: Crude-linked shares, Vodafone Idea, SBI, Texmaco Rail, PNB, HDFC Bank, YES Bank, JSW Infra, Shankesh Jewellers, Gabriel India, among others, will be in focus today.
Oil at $100: OMC stocks have already been punished significantly, and therefore investors are not reacting in panic after such a major fall, believe analysts.
OMCs are losing ₹5 a litre on petrol and ₹23 on diesel as Brent crude crosses $100 a barrel, while escalating US-Iran tensions add to India's energy supply risks
Brent Crude oil last traded above the $100 mark on May 25, 2026, before Wednesday; since then select stocks from the Nifty Oil & Gas index soared up to 82%, while two declined over 10%, shows data.
Meesho's shares will remain in focus after a likely block deal to sell 1.5 per cent of Meesho's paid-up equity by SoftBank Vision Fund entity SVF II Meerkat is expected today.
OMC stocks representing the state-run Oil Marketing Companies, including BPCL, HPCL, and IOCL, will also remain in focus on Wednesday after Brent crude prices spiked to $96/barrel
Nomura maintains its bearish medium-to-long-term outlook on crude oil, citing the potential for the largest-ever global oil surplus in 2027E based on IEA forecasts.
The ratings agency estimates that an integrated OMC's operating profit would turn negative at around $115 a barrel, assuming no further increase in petrol and diesel retail prices.
Combined capital expenditure by 12 oil and gas PSUs fell 3.8 per cent to Rs 27,161 crore in Q1FY27, led by sharp declines at ONGC and Indian Oil, though experts see the dip as temporary
The state-run refiner has purchased Nigerian Forcados and Bonga crude for its Vizag refinery, according to trade sources
Elevated crude prices against the backdrop of the West Asia crisis remained the key factor that roiled the OMCs' Q1 earnings performance.
Demand for 100-octane petrol has surged, particularly in Delhi, as social media claims over E20-related vehicle damage prompt more motorists to switch fuels
The state-owned refiner's Q1FY27 results came under pressure due to a net loss of ₹12,264 crore in Q1FY27, compared to a profit of ₹4,110 crore in Q1FY26.
State-run oil refiners reported quarterly losses as higher crude oil prices, weak fuel marketing margins and LPG under-recoveries weighed on earnings
Nomura said that elevated crude oil prices are negative for OMCs' marketing margins and CGDs' input costs, while positive for upstream realisations in the near term.
At last check, Brent crude was up 4.09 per cent at $79.12 a barrel, while US West Texas Intermediate (WTI) crude rose 4.10 per cent to $74.33 a barrel.
Jatin Gedia of Teji Mandi reckons that the Nifty, Bank Nifty have slipped back into the correction zone; he recommends buy on Oil India and Exide Industries.
Thus far in the calendar year 2026, the stock price of HPCL, BPCL and IOC plunged between 17 per cent and 22 per cent, as against a 8.9 per cent decline in BSE Sensex.