Oil rises above record $112 a barrel as dollar dives

15 April 2008

Mumbai: Crude prices rose to all-time highs today, aided by a falling US currency.

In Singapore, US light sweet crude for May delivery rose 18 cents to $111.94 a barrel in the morning trade on the New York Mercantile Exchange after touching a record $112.48 earlier in the session.

The contract later retreated to $112.36 a barrel, up 60 cents from the previous day's record close of $111.76 a barrel.

London Brent crude rose 28 cents to $110.12, after hitting an all-time peak of $110.45 in early trading.

Crude oil has gained over 17 per cent from the start of the year and is averaging above $100 a barrel.

Oil's recent gains were largely attributed to a steadily depreciating dollar because a weakening dollar prompts investors to seek a safe haven in commodities like oil and gold.