Oil prices have hit a record high near $115 a barrel after a US government report showed an unexpected drop in reserves of crude in the world's top consumer.
Crude stockpiles in the US, which had been expected to increase, fell 2.3 million barrels last week, the Energy Information Administration said. Petrol reserves also showed a bigger than expected decline of 5.5 million barrels.
US crude prices struck a record $114.95 after the report was released and were later up 43 cents at $114.22. In London, Brent crude hit an all-time peak of $112.73.
The oil market has been driven by chronic under-investment in oil and refining infrastructure and more recently by the weak dollar and a wave of buying across commodities as investors seek a hedge against inflation and stock market volatility.
