Crude oil prices in New York rose to a new record of $102.59 on Thursday, although the figure increased even more during after hours trading. In less than a month, prices have risen $10, leading the figures to above the record highs set during the 1980s (taking inflation into account). Information provided by the International Energy Agency has said that the previous record was $102.53, with the figures being adjusted according to inflation levels.
The weak dollar is seen as a major cause of this rise. Increasing demand for oil has also been cited as the cause for this increase. Violence in Nigeria earlier this year has led to a drop the country’s production by almost a quarter. The most recent information produced by the Energy Information Administration has shown an increase in gasoline prices for all but one of the areas surveyed.
There have also been suggestions that reports of a fire at a National Gas Terminal may have contributed the the rising oil price. Time Evans from Citigroup Futures has stated he believes “that this fire at the UK natural gas terminal is creating a strong push in the European market, and that is translating here [the US].”
