Oil prices have surpassed a barrel for the first time as the falling dollar drew new foreign investors and speculators to dollar-denominated energy futures. Light, sweet crude for November delivery hit ,02 in electronic trading late on Thursday evening before returning to about ,60.
Oil prices surged above a barrel on Monday for the first time after the Organisation of the Petroleum Exporting Countries (Opec) said crude production by non-Opec countries is falling even as global demand for oil is rising. Prices were also supported by concerns Turkish forces will pursue Kurdish rebels into Iraq.
Oil prices closed at more than a barrel, near an all-time high, on Friday on technical buying and news of faster-than-expected economic growth. ''We've got a highly charged market here, and it doesn't take much of a headline to spark a 5% price move,'' said an analyst.