Oil Price Higher Than $70 on Weak Dollar

7 October 2009 (Last Updated October 7th, 2009 18:30)

Oil rose to more than $70 a barrel on Thursday, amid hope that a global economic recovery is getting underway, while a weak US dollar also lent support. Oil settled down nearly 2% yesterday after US Government data showed larger-than-expected supply increases in gasoline and distillate

Oil rose to more than $70 a barrel on Thursday, amid hope that a global economic recovery is getting underway, while a weak US dollar also lent support.

Oil settled down nearly 2% yesterday after US Government data showed larger-than-expected supply increases in gasoline and distillate fuels last week.

US crude for November delivery rose $0.74 to $70.31 a barrel by 3.12am EDT. The contract closed $1.31 lower at $69.57 a barrel on Wednesday, reported Reuters.

London Brent crude gained $0.81 to $68.01.

Some analysts doubt whether oil will rise beyond the $75 mark, as the market remains well supplied and the global economic recovery, along with energy demand, is still fragile, according to Reuters.

The Energy Information Administration reported gasoline stocks rose 2.9 million barrels last week, nearly three times the build that analysts had expected.