Eternal, IndiGo, BPCL Fall As Crude Oil Surges After Middle East Escalation

On March 19, shares of Eternal, InterGlobe Aviation (IndiGo), and BPCL fell as global crude oil prices rose sharply after new attacks on energy infrastructure in the Middle East. This made people more worried about fuel costs.

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Eternal shares fell 4.4%, while Swiggy declined 3.4% during the session. InterGlobe Aviation, which operates IndiGo, dropped 3.1% to ₹4,223 per share. Among oil marketing companies, BPCL and HPCL declined 3% and 4%, respectively.

Crude Oil Prices Spike

According to Reuters, Brent crude futures rose $4.66, or 4.3%, to $112.04 per barrel at 0400 GMT on March 19, after earlier gaining more than $5 to touch $112.86 per barrel.

U.S. West Texas Intermediate crude also increased by $0.96, or 1%, to $97.28 per barrel, after rising more than $3 earlier in the session.

Attacks On Energy Infrastructure

The rise in oil prices follows Iranian attacks on energy facilities across the Middle East after a strike on Iran’s South Pars gas field. The escalation marks a significant development in the ongoing conflict involving the U.S. and Israel.

QatarEnergy stated on March 18 that missile strikes on Ras Laffan, the country’s key liquefied natural gas processing hub, caused extensive damage.

Saudi Arabia confirmed that it intercepted and destroyed four ballistic missiles targeting Riyadh and thwarted a drone attack on a gas facility, according to official statements cited by Reuters.

Iran also issued evacuation warnings before launching strikes on multiple oil facilities across Saudi Arabia, the United Arab Emirates, and Qatar.

Developments Around South Pars Field

The South Pars gas field, shared between Iran and Qatar, is the world’s largest natural gas reserve. Israel carried out the strike on the Iranian section of the field, while the U.S. and Qatar were not involved, U.S. President Donald Trump said on March 18. He added that the U.S. would respond if Iran targeted Qatar’s infrastructure again.

The decline in aviation, energy, and consumption-linked stocks reflects movements in crude oil prices, with companies reacting to rising fuel costs and ongoing developments in the region.