ET:State-run oil companies rally on diesel price hike hopes
State-run Indian oil companies rally on hopes for a hike in the prices of diesel, dealers say. Slump in Brent crude, down 2.41 per cent, also boosts stocks.
"OMCs are awaiting diesel and kerosene price hike, which is quite imminent at this point," said Ashutosh Bhardwaj, senior analyst at Nirmal Bang's institutional equities division, referring to oil marketing companies.
Bhardwaj expects a hike of 3-5 rupees in diesel prices after the parliamentary session which ends on May 21.
Bharat Petroleum Corp gains 2.1 per cent, HPCL rises 0.9 per cent, and Indian Oil Corp adds 1.5 per cent, well outperforming the benchmark index, which is down 1.6 per cent.
