Fuel prices drop in Delhi, Mumbai as global prices continue downward spiral

The fuel prices continued to decline on Thursday with price of petrol reaching Rs 77.28 per litre in Delhi, 0.15 paise lower from Wednesday.

In Mumbai, petrol is being sold at Rs 82.20 per litre after a decrease of 0.14 paise.

Meanwhile, diesel is available at Rs 72.09 per litre in national capital, 0.12 paise lower than Wednesday while in Mumbai, diesel is being retailed at Rs 75.53 per litre following a decrease of 0.11 paise.  

The fuel prices in the country have witnessed a relentless hike since the past few months in the country, burning a hole in the commuter's pocket.

In a bid to ease the crunch caused by soaring fuel prices, finance minister Arun Jaitley on October 2 announced a reduction of Rs 2.50 per litre on both petrol and diesel prices.

Petrol price has been cut by more than Rs 5.35 per litre and diesel by Rs 3.71 in the last 30 days in Mumbai.

As per the daily dynamic pricing regime, domestic fuel prices depend on international fuel prices on a 15-day average, besides the value of the rupee.

The downward revision also comes on the back of multiple factors such as lower international crude oil cost and a recovery in the rupee against the US dollar.

Global oil prices recorded 12 straight days of losses on Tuesday and the steepest one-day loss in more than three years to recover by one per cent on Thursday. Brent crude settled up 65 cents, or 1 per cent, at $66.12 a barrel, after hitting a session high of $67.63.

US crude futures rose 56 cents, or 1.01 per cent, to settle at $56.25 a barrel, after sliding for 12 straight sessions to the lowest since November 2017. Last month, crude prices had reached over $80 a barrel but have since cooled to below $70 a barrel.