Crude prices fluctuate after US airstrikes on Iran

According to one estimate, if crude prices rise by one dollar, India's annual import bill would be Rs. May go up to 10700 crores

(PTI) Hong Kong / London, Ta. January 3, 2020, Friday

Crude oil prices in the foreign market have reached a nine-month high following the assassination of Qudsim Suleimani, the head of Iran's Quds Force in a US air strike amid escalating tensions between the US and Iran.

In London, the price of a barrel of crude oil has increased 4.1 per cent, or $ 2.70, to $ 68.95. India is suspected of rising inflation due to rising crude oil prices. Due to rising crude oil prices, rice has to spend more on buying crude oil from other countries. Thereby increasing the current account deficit.

The rise in the price of crude oil also puts pressure on the rupee. As a result, India makes crude oil more expensive. Due to rising crude oil prices, oil companies are under increasing pressure to raise petrol-diesel prices. Inflation increases due to rising petrol-diesel prices.

Inflation has an impact on everything from vegetables to everyday use. If inflation is low, the pressure on the Reserve Bank of India will also be low and it may reduce interest rates. As interest rates fall, the loan's EMI decreases.

It is worth mentioning that India imports 80% of its crude oil requirement. It is estimated that the annual import bill increases by Rs 10,700 crore due to such a rise in crude oil prices. India imported $ 111.9 billion of oil in FY 2018-19.

American strikes at Baghdad airport in Iraq have caused stock markets to decline worldwide. On the last trading day of the week, the Indian stock market witnessed a significant decline. At the close of the market, the Sensex fell 162 points to close at 41,464. The Nifty was down 55 points to close at 12,226.

The US attack on Iranian terrorists in Iraq worsened

The root of the current war between Iran and the US is the attack in Iraq. Iraq is currently a supporter of the United States. In some places in Iraq, there were Iran-backed terrorist bases, which the US attacked. The US embassy building in Baghdad, the capital of Iraq, was then attacked. Trump has said the attack was carried out by Iran. Then Trump also said that we would attack now. A few days ago, a rally took place in support of the terrorists killed in Iran, and the US Embassy was stoned. It was only after that that the United States organized the offensive.

US orders its citizens to leave Iraq immediately

"We urge American citizens to leave Iraq immediately because of the severe turmoil in Iraq and the Gulf region," the US Foreign Ministry tweeted. All consular operations have been canceled due to attacks by Iranian-backed rebels on American embassy in Baghdad. American citizens should not contact Embassy.

Suleimani killed in Iran to prevent future attacks: Pentagon

The Pentagon said that Iran's Revolutionary Guards killed Qasim Sulaimani, the president of the Corps-Force, who was taking protective measures to protect American personnel abroad. The United States is listed on the banned foreign terrorist organization by the United States. The Pentagon claimed that the purpose of the attack was to prevent future Iran attacks. General Solemn was actively planning attacks on American embassies and personnel in Iraq and the Gulf countries. Solemni and his Quds forces were responsible for the deaths of hundreds of American and coalition troops. Solemni has plotted attacks on coalition forces over the past several months, including the December 27th attack. Solemni allowed the attack on the US Embassy in Baghdad this week.

Ahmedabad rose Rs 850 in gold, 1100 in silver

In the wake of the rising tensions between the US and Iran, the Ahmedabad gold and silver market also witnessed a boom in global markets. Gold jumped to an all-time high of 41,000 at Ahmedabad today. At the end of the day, silver rose by Rs 1,100 to Rs 48,200 while gold rose by Rs 850 to a record high of 41250.

Conditions like the Gulf War in the Middle East since the death of Solomon

Iran's leading commander in the American drone attack, Kasim Sulaimani, is reported to have caused instability once again in the Middle East. Perhaps no one had imagined that the tensions that had been building between the US and Iran in recent years would take such a turn in the new year. As a result, the Middle East has once again created a Gulf War-like situation. Experts believe that if such tensions continue for a long time, it will have a serious impact on many large countries of the world, including India.