On a day when the Indian basket of crude oil touched its three-and-a-half year high of $76.31 a barrel, the International Energy Agency (IEA) said in a report that following a growth of 125 kilo barrels per day in 2017, India will see an acceleration in oil demand to 300 kb/d in 2018. This is despite a drop in global demand for oil. On Wednesday, the Indian basket price touched its highest point since December 1, 2014, when it was seen at $76.43 a barrel. However, since the rupee value against dollar is much depreciated since then, the impact on India’s trade balance would be higher. However, India could expect some moderation in global prices if the global demand falls in the second half of 2018, according to IEA report.

(Business Standard)