BPCL, HPCL, IOCL Share Price Fall Up to 4% as Rising Crude Oil Prices Pressure OMC Stocks

Shares of state-run oil marketing companies (OMCs) remained under pressure on March 16 as crude oil prices continued to rise amid escalating geopolitical tensions. Stocks of Bharat Petroleum Corporation, Hindustan Petroleum Corporation and Indian Oil Corporation declined during intra-day trade as investors reacted to the surge in global oil prices.

OMC Stocks Extend Losses

During intra-day trading, shares of the major OMCs dropped by as much as 4% on the BSE.

• Hindustan Petroleum Corporation Ltd traded around ₹353
• Bharat Petroleum Corporation Ltd was near ₹306.80
• Indian Oil Corporation Ltd hovered around ₹150

By around 9:32 AM, the stocks were still trading 1–3% lower, even as the benchmark BSE Sensex was up about 0.5%.

So far in March 2026, the losses have been significant. Shares of HPCL have fallen about 22%, while BPCL and IOCL have declined 18% and 14%, respectively. In comparison, the broader market index has dropped around 10%.

Currently, OMC stocks are trading 9% to 20% above their respective 52-week lows.

Rising Crude Oil Prices Trigger Sell-off

The main reason behind the weakness in OMC stocks is the sharp increase in global crude oil prices.

Oil prices have been rising as the conflict involving the United States, Israel, and Iran entered its third week, creating concerns about disruptions to global energy supply. Reports indicate that the Strait of Hormuz, a key global oil shipping route, remains closed, increasing supply risks.

According to reports, Brent crude rose to around $105 per barrel, gaining nearly 2% in early trade.

Also Read: Groww Launches New ETF Tracking Nifty PSU Bank Index: NFO Open Till March 20!

India’s Dependence on Imported Oil

India relies heavily on imported crude oil, which increases its exposure to global price fluctuations.

According to the annual report of Indian Oil Corporation Ltd, around 88% of India’s crude oil demand is met through imports. This dependence makes the country vulnerable to global supply disruptions and price volatility.

Conclusion

Shares of major oil marketing companies remain under pressure as rising crude oil prices and geopolitical tensions weigh on the sector. Companies like Bharat Petroleum Corporation Ltd, Hindustan Petroleum Corporation Ltd and Indian Oil Corporation Ltd are particularly sensitive to oil price movements and government fuel pricing policies. 

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