Geo-political reasons are to be blamed for spike in global oil prices, he says.
Prime Minister Dr Manmohan Singh said Monday that India has unambiguously said it's against Iran developing or acquiring nuclear weapons and that if the United Nations Security Council slaps sanctions against Tehran, it would support such action, but hoped United States President Obama's outreach to Iran on this issue would yield a compromise that doesn't necessitate such an outcome.
"We hope that India, as well as all other states -- China, Russia, France, Britain and Japan -- will diminish their economic relations with Iran," US Under Secretary of State Nicholas Burns said.
Iran's foreign minister Manouchehr Mottaki met Prime Minister Manmohan Singh and External Affairs Minister S M Krishna during his two-day visit to India. Mottaki, who has frequently been in the news for defending Iran's controversial nuclear agenda, told a TV channel during an interview, "Leaders of India are looking for a new chapter of co-operation and relation with Iran and that is a constructive signal."
"Iran and India enjoys close friendly relations," the spokesman was quoted in Tehran Times as saying.
Global head of equity strategy at Jefferies, Christopher Wood, has cut his exposure to Indian equities by one percentage point in the Asia-Pacific ex-Japan relative-return portfolio, and Australia and Malaysia by half a percentage point each in favour of China, which has seen a hike in exposure by two percentage points. The rally in China has been fast-forwarded by the approach of a seven-day holiday with the CSI 300 Index up 8.5 per cent on Monday, and 25.1 per cent in five trading days, he said.
'Victims of terrorism do not sit together with its perpetrators to discuss terrorism.'
'We emphasise the importance of not basing investment decisions solely on electoral outcomes.' 'Instead, focusing on investing in high-quality businesses capable of prospering regardless of the political landscape is paramount.'
External Affairs Minister S Jaishankar on Monday held wide ranging discussions with Iranian counterpart Hossein Amirabdollahian in Tehran and their discussion focused on the long term framework for India's involvement with the strategically vital Chabahar port and the North-South connectivity project.
'If you see another 1000-point correction, people may start panicking.'
India will back any United Nations Security Council sanctions against Iran over the question of its nuclear weapons programme, Prime Minister Manmohan Singh told the Council on Foreign Relations last week.He hoped, however, that President Barack Obama's ongoing outreach programme to Teheran would result in a viable compromise, and obviate the need for such harsh action.
The oil industry experienced three upheavals between 1973 and 1991, which seem to be etched in the memory of the industry's decision makers. Naturally, at the sign of a new crisis, the decision makers like to dip into those tumultuous decades to find ways to deal with the new shock, in addition, of course, to expert reports and forecasts. So, the industry bigwigs turned the pages of history to get a peek into the future of oil price movements after Russia invaded Ukraine in 2022, Israel attacked Gaza in 2023, Iran-linked Houthi rebels pounded tankers crossing the Red Sea in support of Palestine the same year, and Iran rained missiles on Israel in 2024.
'This incident offers ammunition to those inside the US government and elsewhere who question the wisdom of trusting India, so it will have a lasting consequence no matter how it is managed.'
An influential Republican senator has asked India to "just quit" buying oil from sanctions-hit Iran.
Or Iran may face the risk of losing its biggest client
Iranian Ambassador to India Ali Chegeni said his country is 'not for war'. "We are looking for peace and prosperity for everybody in this region," he said.
The Reserve Bank is unlikely to cut the benchmark interest rate in its forthcoming bi-monthly monetary policy review later in the week as retail inflation is still a cause of concern, and there is a possibility of the Middle East crisis deteriorating further, impacting crude oil and commodity prices, say experts.
The increase in India's military spending was "mainly a result of growing personnel and operations costs" which made up almost 80 percent of the total military budget in 2023, the SIPRI report claimed.
India's solidarity with the Palestinian cause dates back to Mahatma Gandhi's time and its rising global stature and influence over all key players in West Asia make it well-placed to play a crucial role in defusing the crisis arising out of the Israel-Hamas conflict, Palestine Ambassador Adnan Abu Alhaija said on Tuesday.
Escalation of the conflict in West Asia between Israel and Iran has had a direct impact on the energy markets, and more broadly on the financial markets as well as the global economy.
However, there would be some exceptions such as equipment meant for light water reactors and low-enriched uranium when it is incorporated in assembled nuclear fuel elements for such reactors.
The unexpected missile attack on a second India-bound ship carrying Russian crude, just three weeks after the first, has complicated matters for domestic refiners. India now counts the Vladimir Putin-led nation as its biggest oil supplier, according to Paris-based market intelligence agency Kpler, and these attacks come on top of US sanctions since December, where vessels that bring crude to India are facing heightened scrutiny. Panama-registered Pollux, which loaded crude at the Sheshkaris oil terminal in the Russian port of Novorossiysk on January 24, was scheduled to deliver the medium, sour Urals grade to Paradip port on February 28.
India's involvement in the port development was not strictly under the international sanctions that had been imposed on Iran.
Pakistan-India bilateral relations remained frozen for the fourth year over the vexed Kashmir issue but analysts hope the strained ties could be repaired if Nawaz Sharif becomes the prime minister for a record fourth time in the general elections in February in the absence of his main challenger Imran Khan who is in jail in multiple cases.
State Bank of India, the nation's largest lender, has stopped processing transactions of Russian entities that have been sanctioned by the West over Moscow's invasion of Ukraine, sources said. To effect this, SBI has issued a circular as it fears that any transaction with entities or sectors under sanction will invite sanction on it as well, sources said. No transactions involving entities, banks, ports or vessels appearing on a US, European Union or United Nations sanctions list would be processed irrespective of the currency of the transaction, they said. Payments due to such entities have to be processed by other mechanism rather than through the banking channel, sources added.
Iranian President Dr Hassan Rouhani Tuesday talked about the greater need for South-South cooperation, an issue closer to India's heart and expected to be addressed by Prime Minister Dr Manmohan Singh during his speech at the United Nations General Assembly this Saturday.
'A Russia-Iran-China-Pakistan geopolitical grouping is evolving at this point of time.' 'Given that the grouping is in its nascent stages, will this week's terrorist attack in Mirjaveh affect it?' asks Aveek Sen.
Richard Fontaine, director of the Task Force convened by the Centre for New American Security, fears that India's abstentions of key votes at the United Nations Security Council and a divide on the issue of Iran when it does come up may dissipate Washington's enthusiasm to push for India's bid for a permanent seat.
Stocks in the automotive, financial, cement, metal, and hotel sectors are likely to benefit if the Narendra Modi-led Bharatiya Janata Party (BJP) comes back to power for a third time. The key investment themes have been identified after analysing the Sankalp Patra - the party's manifesto for the next five years - released on Sunday.
In the Middle East, which is already coping with the Qatar-Saudi Arabia tensions, comes another pressure point.
The reimposition of sanctions on Iran will have major impact on countries like India, with which it has traditional and historic trade relationship.
'None of these three countries -- Turkey, Iran or Malaysia -- ever made a hostile move against India to support the Pakistan-based terrorist elements,' notes Ambassador M K Bhadrakumar.
Invoking the age-old cultural bonds between India and Iran, Prime Minister Narendra Modi on Monday said it was time for the two countries to "march together" by regaining the "past glory" of historical ties
'If the Iran nuke deal holds, Iran becomes a gateway to Afghanistan, and a better one than Pakistan because the route is not so mountainous. Correspondingly, I imagine Pakistan's value to the US will fall,' says Rajeev Srinivasan.
As India's stock rises, the resolution of the border row may become even more difficult, warn Harsh V Pant and Kalpit Mankikar.
Pakistan Defence Minister Khawaja Asif will attend the SCO defence ministers' meeting in New Delhi on Friday through virtual mode, according to an official readout.
