Concern about potential supply disruptions in Iraq and American gasoline reserves pushed oil prices up for the second day in a row, despite expected news from the Energy Department that crude supplies in the US had rebounded, reports the Associated Press. The US dollar’s continued depreciation against a slew of currencies also helped inflate the price.
In overnight trading, oil hovered near $102, with light, sweet crude at $101.74 in Asian electronic trading, up 52 cents. Oil prices have risen 62% from a year ago, and traded as high as $111.80 last week. "The weak US dollar continues to prop up oil prices due to financial investors engaging in this inflation play," said an energy analyst.