The federal government on Tuesday increased the prices of petrol and high-speed diesel (HSD) by Rs1.63 and Rs1.55 per litre, respectively, a day after reducing the petrol price.

According to a notification issued by the Ministry of Petroleum, the price of petrol has been fixed at Rs335.81 per litre, while HSD will now cost Rs388.38 per litre with effect from July 29.

The latest revision comes a day after the government reduced the price of petrol by Re1 per litre, while increasing the price of high-speed diesel by Rs3.37 per litre.

Read: Govt decreases petrol price by Re1, increases HSD price by Rs3.37 for July 28

On July 17, the government introduced a daily fuel price review mechanism amid volatility in global oil prices following renewed hostilities in the Middle East.

The daily fuel prices are based on a seven-day average of international market rates to align with international standards.

Oil prices spiked to $100 a barrel for the first time since May last week on July 23, major tech giants knocked US stocks lower, and Europe’s borrowing costs spiked to long-term highs in an unsettling day across markets.

Brent crude jumped 6% to $100.50 a barrel following attacks on tankers in the Red Sea that choked off a second crucial Middle East artery for global oil supplies alongside Iran’s near-closure of the Strait of Hormuz. It marked the first time the international oil benchmark had hit that level since late May as the US-Iran war has heated up again.