Entire coastal Karnataka to be declared open defecation-free on Oct 2

Global oil markets remained under intense pressure on Tuesday, with Brent crude dropping below $20 per barrel for the first time in 18 years while other major benchmarks across the world tumbled. 

Brent, the international crude marker, slipped to $18.10, indicating that markets see no immediate let-up to the collapse in oil demand that sent some US oil benchmarks plunging under $0 for the first time on Monday, leaving producers paying for buyers to take their oil away while available storage is scarce.

Coronavirus has sent the oil sector into a state of crisis, with lockdowns implemented by authorities to smother the outbreak slashing demand for crude by as much as a third.

Contracts for the US benchmark West Texas Intermediate for delivery next month tumbled as low as minus $40 a barrel on Monday. Analysts at Citi warned that “if global storage worsens more quickly, Brent could chase WTI down to the bottom”.

The collapse in the May WTI contract was partly a technical product of the fact that it expires on Tuesday, meaning trading volumes were low and making the contract for June delivery more noteworthy, analysts said. That contract held above $20 a barrel on Monday but slid as much as 42 per cent on Tuesday to trade at lows of $11.79, suggesting the blowout in the May contract was more than a blip and that the entire global oil market faced challenges.

Goldman Sachs analysts said the June contact was likely to face downward pressure in the coming weeks, pointing to the “still unresolved market surplus”.

“As storage becomes saturated, price volatility will remain exceptionally high in coming weeks,” they said. “But with ultimately a finite amount of storage left to fill, production will soon need to fall sizeably to bring the market into balance, finally setting the stage for higher prices once demand gradually recovers.”

Warren Patterson, head of commodities strategy at ING, said it was likely that “storage this time next month will be even more of an issue, given the surplus environment”.

“And so in the absence of a meaningful demand recovery, negative prices could return for June,” he added.

European equities traded lower, partly dragged down by weaker energy stocks. The continent-wide Stoxx 600 was down 1.9 per cent, with its oil and gas sub-index dropping 3.3 per cent. In London the FTSE shed 1.7 per cent, while Frankfurt’s Dax slid 2.3 per cent. 

Equities were also broadly lower in Asia, with futures tipping US stocks to fall 1 per cent when trading in New York begins later.

On Wall Street overnight, the S&P 500 closed down 1.8 per cent, partly because of weakness in energy shares, but also due to increased pessimism over the time it will take for countries to emerge from lockdowns.

In fixed income, the yield on the 10-year US Treasury fell 0.03 percentage points to 0.585 per cent as investors retreated to the safety of the debt.

Bengaluru, Jul 2: Senior Congress leader Mallikarjun Kharge said that the "RSS needs to be defeated to save the country" and Prime Minister Narendra Modi and Union Home Minister Amit Shah are "destroying the nation".

Kharge was speaking at a KPCC program where DK Shivakumar took charge as state Congress president.

He said that the Prime Minister and the Home Minister are not ready to take accountability for any issues including China, and are instead blaming Rajiv Gandhi Foundation of getting funds from China.

"Rajiv Gandhi foundation utilized funds for the development of the nation and for the betterment of the downtrodden people," Kharge said.

"Prime Minister Modi and Shah both are destroying the economy of the nation, and their policies and plans are the reason for increasing COVID-19 situation in India," he said.

"Prime Minister and Amit Shah never listen to Opposition parties, instead they plan something and their policies are the reason for MSME losses and job losses in the country," he added.

Mangaluru, Jan 1: Led by two local MLAs belonging to Bharatiya Janata Party, dozens of people today forcibly stopped toll fee collection at Talapady toll gate on the outskirts of the city allowing vehicles plying between Karnataka and Kerala on the national highway 66 to travel without paying any fee for some time.

Mangaluru City South MLA D Vedavyasa Kamath and Mangaluru City North MLA Y Bharat Shetty, who led the workers, said that the Navayuga Udupi Tollway Pvt. Ltd. (NUTPL), the concessionaire of the about 90-km-long highway widening project between Talapady and Kundapura in Karnataka, had failed to complete the project since over a decade.

The service roads and two flyovers under the project remained uncompleted. Hence motorists were facing a hardship. Notwithstanding Nalin Kumar Kateel, Dakshina Kannada MP, arranging ₹56 crore loan to the NUTPL through Axis Bank to complete the prominent Pumpwell flyover in the city, the company had failed to complete it.

The MLAs said that they stopped the toll collection as a symbolic protest to bring pressure on the company to complete the project within this month.

The BJP workers who gathered near the toll gate around 7.30 a.m. forcibly removed the barricades and made the vehicles ply without paying the fee. The workers of the company managing the toll booth did not resist.

The BJP workers said that vehicles would ply without paying toll till about 6 p.m. If the company resumed the collection during the day on Wednesday, the party workers would again forcibly stop it on Thursday, they said.

Shivaprasad Rai, in-charge of toll collection of the company at Talapady, Hejmady and Sasthana on the same highway told The Hindu that the NUTPL collected about ₹7 lakh as toll fee daily at Talapady from over 12,000 vehicles. The loss on Wednesday could be about ₹4 lakh.

The project is being implemented under build, operate and transfer basis.