Shares of India’s major oil marketing companies (OMCs) fell sharply on Monday as surging crude oil prices squeezed refining margins.
Indian Oil Corporation (IOC) emerged as the worst performer among the group, dropping more than 2%, while Hindustan Petroleum (HPCL) and Bharat Petroleum (BPCL) also declined, falling 1.60% and 1.81% respectively.
Oil and Natural Gas Corporation (ONGC) and Oil India both rose by up to 2%, benefiting directly from the higher benchmark prices.
The sell-off in refiners contrasted with gains in upstream producers.
Oil and Natural Gas Corporation (ONGC) and Oil India both rose by up to 2%, benefiting directly from the higher benchmark prices.
The divergence highlights the immediate margin pressure on downstream players who must absorb rising input costs, often before passing them on to consumers.
The market move comes amid renewed tensions in the Middle East, which have reversed earlier declines in oil prices.