What is the story about?
Shares of Oil & Natural Gas Corporation Ltd. (ONGC) and Oil India Ltd. gained as much as 2% on Wednesday, January 14, after oil prices continued to rally in the global markets. ONGC shares are trading with gains of close to 1%, Oil India shares are trading with gains on 1.6%.
Both the stocks were already on a three-day winning streak. Shares of Oil India had risen 9.3% in the last three sessions, while those of ONGC were up 5.2% during this period.
Oil prices in the global markets are at the highest level in 12 weeks with Brent Crude now trading close to the $66 per barrel mark. Concerns around protests in Iran and a possible US intervention are keeping prices at elevated levels. Prices had declined to multi-year lows just last month over potential easing of the Russia-Ukraine war.
Every $1 per barrel rise in crude oil prices could benefit revenues of ONGC and Oil India between ₹300 crore to ₹400 crore.
Both ONGC and Oil India's shares gained on strong volumes on Tuesday. ONGC saw 2.25 crore shares traded compared to its 20-day average of 83.4 lakh shares. Of this, 1.16 crore shares were marked for delivery. Oil India saw over 1.2 crore shares traded, significantly higher than its 20-day average of 16.2 lakh shares, of which, 60.5 lakh shares were marked for delivery as well.
Shares of ONGC are trading 0.6% higher on Wednesday but have underperformed in the last 12 months with a 6.5% decline, while those of Oil India are trading 1.6% higher to ₹453.8. The PSU stock has declined 3.5% in the last 12 months as well.
Both the stocks were already on a three-day winning streak. Shares of Oil India had risen 9.3% in the last three sessions, while those of ONGC were up 5.2% during this period.
Oil prices in the global markets are at the highest level in 12 weeks with Brent Crude now trading close to the $66 per barrel mark. Concerns around protests in Iran and a possible US intervention are keeping prices at elevated levels. Prices had declined to multi-year lows just last month over potential easing of the Russia-Ukraine war.
Every $1 per barrel rise in crude oil prices could benefit revenues of ONGC and Oil India between ₹300 crore to ₹400 crore.
Both ONGC and Oil India's shares gained on strong volumes on Tuesday. ONGC saw 2.25 crore shares traded compared to its 20-day average of 83.4 lakh shares. Of this, 1.16 crore shares were marked for delivery. Oil India saw over 1.2 crore shares traded, significantly higher than its 20-day average of 16.2 lakh shares, of which, 60.5 lakh shares were marked for delivery as well.
Shares of ONGC are trading 0.6% higher on Wednesday but have underperformed in the last 12 months with a 6.5% decline, while those of Oil India are trading 1.6% higher to ₹453.8. The PSU stock has declined 3.5% in the last 12 months as well.
