Brent crude prices breached $85 a barrel mark on Tuesday, the highest since November 2014. Experts predicted price would race towards $100 a barrel sooner than expected with around 1.5 million barrels per day of Iranian oil expected to go offline in view of the US sanction against Iran.
The trade deal between the US and Canada to save the North American Free Trade Agreement (NAFTA) has also put pressure on Brent prices in expectation of push to growth and related rise in oil demand.
The twin factors have resulted in another sharp increase in the price of petrol and diesel in India. Petrol and diesel prices went up by 17 paise across all metro cities in India on Tuesday.
In Delhi petrol stood at Rs 83.85 per litre, up 12 paise, and diesel touched Rs 75.25 per litre, up 16 paise.
In Mumbai, petrol was price at Rs 91.20 per litre, up 12 paise, and diesel Rs 79.89 per litre, up 17 paise.