Summary:
Brent crude fell below $90 on November 10 before rebounding above $92 amid Strait of Hormuz concerns. Lower prices could ease India's import bill and support HPCL, BPCL and IOC, although refining margins, inventory effects and fuel pricing remain important.
Brent crude prices dropped below $90 a barrel on Nov. 10, 2026, to their lowest level since August. The fall was a relief for India’s oil marketing companies and raised hopes of cheaper imports. But prices climbed back above $92 on Wednesday as new shipping attacks in the Strait of Hormuz reignited supply fears.
Why Oil Prices Dropped Below $90
International crude prices plunged on Tuesday on signs that military tensions between the United States and Iran could ease.
Brent crude dipped as low as $89.16 a barrel before rebounding to settle at $91.49. West Texas Intermediate (WTI) crude ended at $86.04 a barrel.
It was a massive drop. Brent was trading around $118 a barrel at the end of October, so prices were down more than 20% from those levels.
But he got well again quickly.
Brent crude, the international benchmark, was up to $92.20 a barrel in early trading on Nov. 11 and WTI was up to $86.53. Attacks on commercial vessels around the Strait of Hormuz kept alive concerns about oil supply.
Lower crude prices are good for India
India's domestic consumption is heavily dependent on imported crude oil. This means that international oil prices directly impact import payments, inflation and the rupee.
A sustained drop in crude prices can help India cut its oil import bill, cooling demand for US dollars and pressure on the domestic currency.
It can also reduce the cost of inputs for firms that use petroleum products, including airlines, chemical manufacturers, paint firms and logistics companies.
Transportation and manufacturing costs would decline slowly because of lower energy costs. The benefit to consumers will depend, however, on whether the lower costs are passed on to retail prices.
The wider economic benefit also depends on how low prices for crude stay. However, a temporary decline might not have much effect on domestic inflation or fuel prices.
HPCL, BPCL and IOC Shares in Focus, Why?
The state owned oil marketing companies are the most impacted by international crude prices.
These are Hindustan Petroleum Corporation (NSE: HINDPETRO), Bharat Petroleum Corporation (NSE: BPCL) and Indian Oil Corporation (NSE: IOC).
The three companies import or buy crude, refine petroleum products and sell fuels in the domestic market.
A fall in crude prices can improve marketing margins if retail prices of petrol and diesel remain unchanged.
There has already been buying interest in the sector. The three companies saw their share prices rise roughly 10% to 13.5% in early November as crude prices fell.
Profitability is also influenced by margins in refining, inventory valuation, currency movements and domestic fuel prices.
Fast crude losses can hit on previously purchased stock and cause inventory losses. This means that quarterly profits do not automatically rise when oil prices fall.
What Could Push Oil Prices Higher?
The biggest near-term worry is supply disruptions.
On November 11 reports said that 37 ships were attacked in the vicinity of the Strait of Hormuz in October, with more incidents reported in November.
Even if diplomatic tensions ease, shipping risks, insurance costs and delays in restoring normal tanker movements could keep crude prices volatile.
Sustained crude prices of about $90 would be a relief for India compared to higher levels seen in October.
The fall lasting, how refining and marketing margins react and whether supply disruptions continue will determine the direction of oil marketing company shares.
