Oil prices rose today, breaching $73 dollars in New York, boosted by a forecast of higher demand amid growing hopes of economic recovery.
New York's main contract climbed $1.42 to $73.19 a barrel. Brent North Sea crude gained $1.27 to $71.27.
Crude gained 2.6% last week, bolstered by a falling dollar. The International Energy Agency raised its oil demand forecasts and a Reuters survey showed that Chinese refineries will keep crude processing at record levels in October.
The US dollar eased against a basket of currencies, further supporting oil. Dollar weakness can boost investor demand for oil, which is priced in the US currency.
Signs emerged today that while world energy demand is expected to rise more strongly than forecast next year, key exporters are continuing to keep a lid on supplies for now.
Saudi Arabia, the world's top oil exporter, will keep steady in November its curbs on the contracted volumes of crude it supplies to Asia and Europe, industry sources said.
