Shares of major state-owned oil marketing companies (OMCs) faced a decline on Monday due to disruptions in energy flows caused by the conflict involving Iran. Global crude oil prices surged past $100 a barrel, leading to a slump in stocks like Indian Oil Corporation (IOCL), Bharat Petroleum Corporation (BPCL), and Hindustan Petroleum Corporation (HPCL) by up to 8.67% in early trade.
The stock prices of IOCL, BPCL, and HPCL dropped significantly in early trade, with IOCL shares falling 7.29% to an intraday low of Rs 156.30, BPCL shares declining 8.43% to Rs 322.95, and HPCL witnessing the steepest decline of 8.67% to Rs 370.10, according to BSE data.
The decline in these PSU stocks was attributed to the surge in crude oil prices, nearing $110 per barrel, as major producers in the Middle East reduced output and the Strait of Hormuz remained closed amid the Iran conflict.
