Oil slides 2 per cent on IEA report

Providing some respite to economies like India, global crude oil fell 2 per cent on Tuesday. The fall can be attributed to rising US oil output and a weak global demand outlook based on International Energy Agency (IEA) report.

Brent Crude futures were down 2 per cent, at US$ 61.92 a barrel at 1653 GMT.

IEA cut global oil demand growth forecast by 100,000 barrels per day (bpd) to 1.5 million bpd in 2017 and 1.3 million bpd in 2018. The report is in line with a slow down of economic growth in China, the de-industralization seen world over and the shift to renewable sources of energy.

Meanwhile, oil and gas stock were trading mixed during the morning session on Wednesday. The stock of HPCL was trading higher at Rs. 421.40 per share, up 2.62 per cent; BPCL was at Rs. 506.00, up 2.60 per cent; IOC was at Rs. 394.10, up 1.61 per cent; Oil India was at Rs. 354.50, up 1.03 per cent, Petronet was at Rs. 259.75, up 0.68 per cent; Reliance was at Rs. 886.70, up 0.06 per cent. On the other hand, the stock of IGL was trading at Rs. 310.25, down by 1.27 per cent, ONGC was at Rs. 179.05, down 1.62 per cent, GAIL was at Rs. 448.25, down 1.80 per cent.