Oil prices gain as dollar weakensTuesday 21 June 2011 17.12
Oil prices rose this evening as the US dollar weakened due to optimism that Greek Prime Minister George Papandreou's cabinet would survive a confidence vote, reducing the possibility the country would default on its sovereign debt.
Brent crude was up 21 cents to $114.90 a barrel, while US crude bounced off the fresh four-month low of $91.14 it touched on Monday, trading up 60 cents at $94.86.
The dollar weakened as the euro gained, with investors optimistic Papandreou will win the crucial confidence vote. A weaker dollar usually makes oil cheaper for holders of other currencies.
The vote is required to secure backing for a new round of spending cuts, tax hikes and state asset sales for a €12 billion lifeline from the EU and the IMF.