The common consumers of India may once again be hit hard by inflation. The reason for this is that for the first time since October 2014 in the international market, the price of crude oil has reached close to $100 per barrel. After the record increase in the price of crude oil, it is being speculated that due to its effect, an increase in the prices of petrol and diesel can be recorded in India. However, due to the assembly elections being held in five states of the country, the price of essential fuels has not increased since the time of Diwali last year.
According to media reports, Brent Crude Futures (BCF) reached $ 95.56 per barrel for the first time since October 2014 in the international market. Brent crude futures were at a record high of $96.16 per barrel in October 2014. Market experts said oil prices in the international market reached a record high of seven years on fears of US and European sanctions in the event of Russia's attack on Ukraine.
Market experts say that due to Ukraine tensions, there was a sharp rise in crude oil prices, which is a big blow to the Indian markets. They say that global markets were trying to compromise with inflation, but due to Ukraine tensions, the market environment has completely changed.
According to the shock model of Bloomberg Economics, after the price of crude oil reaches $100 by the end of the current February, inflation in the US and Europe will increase by about 0.5 percent, which is bound to have a bearing on the global economy. At the same time, JPMorgan Chase & Co has warned that reaching $150 a barrel in crude oil will halt the pace of global economic growth and push inflation levels past the 7 percent mark, which is almost three times more than the target set by most monetary policymakers.