Oil prices surpass all previous records

14 March 2008

In news which may affect those with home heating oil, oil prices have once again struck an all-time high, following a recent trend for surging values of the commodity.

Oil prices hit $110.70 (€71.05) a barrel yesterday, a new record after the previous highest amount was set earlier this week at $109.72 per barrel.

There are continued concerns over the US economy with the dollar falling to a record low against the Euro, with many economists linking the event to rocketing oil values.

Olivier Jakob of Petromatrix in Switzerland was reported by the Associated Press as saying: "The dollar will remain the dominant factor until the Fed [Federal Reserve] meeting next Tuesday but oil will also have to balance with equities under the pressure of more credit hedge funds going belly-up."

The Press Association also reported comments from Phil Flynn, an analyst at Alaron Trading Corp earlier this month.

Mr Flynn said of the situation: "I really think that this is oil being viewed as ... a financial instrument."

Click here to view home heating oil price trends.