Brent crude drops 27% to $83 amid U.S.-Iran talks
Business
Oil prices have taken a big dip: Brent crude is down 27% from its May high, now at $83 a barrel, thanks to U.S.-Iran peace talks and plans to reopen the Strait of Hormuz.
But with sanctions relief and Iran's nuclear program still unresolved, prices are still about 12% higher than before the conflict.
Analysts foresee cheaper oil soon
Analysts think oil could get even cheaper in the next six months as more non-OPEC supply comes online and alternative energy grows.
Still, don't expect instant relief at the pump: India's inflation is high, fuel retailers are losing money on diesel and LPG, and price cuts aren't likely soon.
Plus, slower growth in key sectors could offset any savings from cheaper oil, so the overall impact on India's economy remains uncertain.