Crude oil prices on Thursday rose Rs 57 to Rs 5,788 per barrel in futures trade as participants increased their positions following a firm spot demand.
On the Multi Commodity Exchange, crude oil for July delivery traded higher by Rs 57 or 0.99 per cent at Rs 5,788 per barrel in 11,222 lots.
Analysts said raising of bets by participants kept crude oil prices higher in futures trade.
Global crude oil prices
Globally, West Texas Intermediate crude was trading 0.70 per cent lower at $67.67 per barrel while Brent crude fell 0.77 per cent to USD 69.23 per barrel in New York.
Effect on Rupee
Rupee rose 7 paise to 85.46 against the US dollar in early trade on Thursday, supported by a weak American currency, a drop in global crude oil prices, and a positive opening in the domestic equity markets.
At the interbank foreign exchange, the rupee opened at 85.43 against the greenback before falling to 85.46, up 7 paise from its previous close. The rupee had settled at 85.53 against the US dollar on Wednesday.
Effect of stock market
After the rise in crude oil prices, major petroleum companies in India saw a fall in their shares on the stock market. Bharat Petroleum shares fell by 4.25 percent on Thursday at 2:25 PM. Similarly, shares of Indian Oil Corporation were also down by 1.5 percent.
Apart from the PSU companies, shares of the major private petroleum companies are felt the effect of increase in the crude oil prices. Reliance Industries, one the biggest petroleum company in India, also saw a 0.7 percent fall in its share prices.