Oil Touches Record $97 a Barrel

Weak dollar and expected supply drop push crude to another record
By Sam Gale Rosen,  Newser Staff
Posted Nov 6, 2007 2:24 PM CST
An attendant pumps gas at a local Singapore station Monday, Oct. 29, 2007. Oil prices hit a new trading high on today amid concerns about dwindling supplies and the weakening of the US dollar with oil...   (Associated Press)
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(Newser) – Crude oil hit $97 a barrel today on the New York Mercantile Exchange, helped along by a weak dollar and an expected drop in supply—an especially impressive jump considering the 2% price drop yesterday. "What a difference a day makes," one analyst told MarketWatch. "This volatility is enough to give you vertigo."

Two big reports on energy supplies are coming out tomorrow. Both are expected to show a significant drop in crude inventories, by as much as 1.6 million barrels. And disruptions in the Mexican oil supply could also affect prices. "If tomorrow's numbers are impacted by lower Mexican exports it could be even more bullish for crude," said one economist.