LONDON, July 17: Oil prices in New York surged higher on Tuesday, supported by tight US gasoline supplies, North Sea maintenance and geopolitical tensions, traders said. New York's main oil futures contract, light sweet crude for delivery in August, touched $75.35 per barrel -- which was last seen on August 10, 2006. It later stood at 74.19, up 22 cents from Monday's close.
In London, Brent North Sea crude for September delivery fell on profit-taking, losing 45 cents to $75.84 per barrel.
“Any correction in crude (prices) ... will be relatively short-lived as the bias still seems higher,” said Man Energy analyst Edward Meir.
On Monday prior to its expiry, the Brent August contract had struck $78.40 per barrel, nudging its record high of $78.64.
Prices have soared this week as speculators ploughed into the market amid heightened concerns over tight US supplies of gasoline or petrol.
The US Department of Energy was due on Wednesday to release its traditional weekly snapshot of energy stockpiles.
Gasoline inventories are under strain at the moment because of the ongoing US driving season, when many Americans take to the roads to reach their summer holiday destinations.
That in turn is expected to put severe pressure on global crude supplies.—AFP
