Crude oil futures were down by 3.71 per cent on the Multi Commodity Exchange (MCX) during the afternoon session today, in tune with the crude oil prices across the globe. December crude oil futures were trading at ₹5,145 as against the previous closing of ₹5,343.
February Brent oil futures were trading at $71.25, down by 2.69 per cent, the January crude oil futures on WTI were trading at $67.09, down by 2.47 per cent.
One of the reasons for the global drop in prices was the demand concern following worry over the effectiveness of Covid-19 vaccines against the Omicron variant of coronavirus. Moderna told the Financial Times that Covid vaccines are unlikely to be as effective against the Omicron variant as against the Delta variant.
Market players hinted at expected release of crude oil from the oil reserves of some of the economies and the likelihood of Iran releasing oil in the global market for this drop.
On the National Commodities and Derivatives Exchange (NCDEX), December soyabean futures, which opened lower by 1.92 per cent Tuesday morning, was down by 1.63 per cent in afternoon trading. The December soyabean contracts were trading at ₹6,203 against the previous close of ₹6,306.
Prices came down by 0.47 per cent last night and 2.73 in the past week in the global market. Soyabean prices have now come down by more than 5 per cent since the beginning of the year after making huge gains earlier.
It may be mentioned here that in a recent letter to the government, the Soybean Processors Association of India (SOPA) had estimated the total supply of soyabean for 2021-22 at 123.72 lakh tonnes (lt).
On NCDEX, the December futures of guar gum were trading at ₹10,225 against the previous close of ₹10,167, up by 0.57 per cent, in the afternoon hour of trading on Tuesday.