NEW DELHI/MUMBAI: Fuel prices once again slumped in the metros on Friday.
After a cut of 15 paisa, petrol price touched Rs 78.06 per litre in Delhi and Rs 83.57 per litre in Mumbai, according to the Indian Oil Corporation data.
Diesel prices too witnessed a cut. In Mumbai, the fuel touched Rs 76.22 after a decrease of 16 paisa while in the national capital, it was being sold at Rs 72.74 per litre after a cut of 15 paisa.
In Chennai, petrol stood at Rs 81.08 while diesel was Rs 76.89. In Kolkata, petrol and diesel prices stood at Rs 79.98 and Rs 74.60 respectively.
Meanwhile, international oil prices rose on Thursday after record Chinese crude imports eased concerns that a slowdown in the world`s No.2 economy could stoke an emerging fuel glut.
However, oil markets were held back somewhat after the United States became the world`s top crude producer as its output hit record levels.
Fuel prices have been reducing for around 20 days now on the back of multiple factors such as lower international crude oil cost and a recovery in the rupee against the US dollar. The benchmark Brent Crude was trading at $71.55 a barrel.
Fitch Solutions Macro Research said in a note Thursday said that Indian oil demand, which faced substantial pressures in 2018 because of rising rates and a weakened rupee, is set for recovery next year.
"Indian oil demand will become an increasingly important driver of global demand growth, as China's economy slows and the government pushes diversification away from oil," Fitch Solutions, an affiliate of Fitch Ratings, said.