US crude oil rose this evening for a third straight day, as improving US consumer confidence and industrial production boosted the oil demand outlook. The price of gold also hit a fresh record high.
US crude was up $1.68 to $109.79 a barrel, while Brent crude rose $1.70 to $123.70.
A US government report showed underlying inflation pressures remained contained in March, while a survey showed April consumer sentiment rose more than expected. Strong Chinese growth figures also boosted the oil market.
The oil price rises came despite a note from US bank Goldman Sachs, which recommended that investors go underweight commodities for three to six months, after sharp price rises so far this year. Goldman maintained its outlook for rising oil prices over a 12-month horizon, however, due to growing global fuel demand.
Meanwhile, the price of gold reached a record high above $1,480 with investors piling into the safe-haven precious metal as global inflation spiked higher and euro zone debt worries resurfaced.
Gold hit $1,483.38 an ounce on the London Bullion Market, building on a series of records through the week. The record came after China said its inflation hit a 32-month high, suggesting Beijing's efforts to rein in soaring costs are still falling short. Its consumer price index rose at a 5.4% annual rate in March.
