buying petroleum shares before price hike
After Modi speech there are chances of petrol price hike,.
Since petrol company's were taking the hit of high crude.
Is it worth buying petrol shares and sell after the 1-2 price hike announcement.
BPCL is down from its ATH of 390 on 27-feb to 290
HP is down from its 52 weeks high of 507 to 367
ONGC is trading near it's ATH of 310, currently at 297
This discount indicates that hike in crude prices is somewhat priced in.
Crude hike was started from mid/late March. Means we will see its impact in this quater of aprl-jun means in result of July/August
So we have room to exit on news of price hike before companies report shrink in profit margins.
Your thoughts on this
u/GrandRespond2328 — 2 days ago