Oil prices jumped 3% today on expectations of falling US inventories as OPEC brushed off calls to raise supplies.
US crude traded $2.73 higher at $93.90 a barrel after moving as high as $94.00. London Brent crude rose $1.79 to $90.62 a barrel.
Oil had fallen more than $7 a barrel from last week's record of $98.62, pressured by evidence that high prices may be affecting demand, after the International Energy Agency's latest monthly oil market report cut predictions for demand growth.
But a weak dollar and expectations that demand from emerging market countries will stay strong helped drive the market higher.
OPEC said it sees no need to increase oil production now.
'At this time, frankly, we don't see that we should add more oil,' said Secretary-General Abdullah al-Badri ahead of the OPEC heads of state summit in Riyadh.
US Energy Secretary Samuel Bodman has asked OPEC to agree to boost production because of shrinking oil inventory levels in developed economies.
But Saudi Arabia's oil minister Ali al-Naimi has confirmed that OPEC will not discuss raising crude output at a heads-of-state meeting that begins on Saturday.
The market focus has shifted back to the short-term outlook, which points to a potential supply shortfall during the northern hemisphere winter.
A Reuters poll shows that tomorrow's US inventory data is expected to show crude stocks fell last week by an average of 800,000 barrels, which would be the fourth consecutive weekly decline.
The weekly report is being released a day later than usual, because of the US Veterans Day holiday on Monday.
