Crude oil prices jump 1% after Trump’s India–Russia claim: What it means for Indian energy stocks
Crude oil prices climbed nearly 1 per cent on Thursday after US President Donald Trump claimed that Indian Prime Minister Narendra Modi had assured him that India will stop purchasing Russian crude oil. The announcement sent ripples through global energy markets.
However, India has not confirmed Trump’s remarks.
Impact
The sudden shift from Russian exports to India could tighten supply and push prices higher. Indian refiners would face higher input costs if they are forced to shift toward expensive Middle Eastern or US grades.
Higher oil prices could also fuel inflationary pressures in India. This would also weigh on broader equity market sentiment. Sectors sensitive to input costs — such as aviation, logistics, and chemicals — would feel the impact, while energy producers may attract short-term investor attention.
Indian energy stocks
Investors may see divergent outcomes with respect to energy stocks due to rising oil prices: upstream companies could gain from higher crude prices, while refiners might experience margin compression.
Public-sector companies like Indian Oil Corporation, Bharat Petroleum, and Hindustan Petroleum could also experience short-term pressure with alternative supplies. For midstream and infrastructure players, the effect may be mixed.
Published on October 16, 2025