New Delhi, July 20 -- Rising global crude oil prices have sharply eroded the retail fuel marketing margins of India's oil marketing companies (OMCs), even as a strong surge in refining crack spreads continues to support overall integrated profitability, according to the latest weekly sector update by Equirus Securities.

The report said Brent crude climbed 5.4 per cent week-on-week to USD 88.1 per barrel, while the Indian crude basket rose 2.5 per cent to USD 81.4 per barrel. The increase in crude prices weighed on fuel marketing margins, particularly diesel, where retail losses deepened.

Highlighting the pressure on fuel retailing, the report said, "Petrol marketing margin fell sharply WoW (-42.1%) to Rs 4.5/lit, while diesel MM slipped...