LONDON, July 11: Oil prices rocketed to record highs above $147 on Friday as traders seized on the weak US currency and tensions over Iran and Nigeria at the end of an extremely volatile trading week.

London’s Brent North Sea oil for August delivery jumped as high as $147.50 to beat the previous record of $146.69 set on July 3.

New York’s main oil contract, light sweet crude for August, also topped $147 for the first time to reach a historic $147.27.

“Prices soared to record highs on mounting geopolitical tensions in Nigeria and Iran, while supply threats in Brazil add to supply woes,” said Barclays Capital analysts.

Oil also swept back into record territory after the European single currency briefly leapt above $1.59. The weak dollar boosts demand for dollar-priced oil which becomes cheaper for buyers using stronger currencies.

After hitting the latest peaks, London Brent stood at $144.15 in late trade, up $2.12 from Thursday’s close. New York crude was $4.90 higher at $146.55.

“As ever, the market remains very sensitive to any potential supply disruptions and geopolitical tensions,” said Sucden analyst Andrey Kryuchenkov.

Oil rallied by almost six dollars on Thursday on the back of simmering geopolitical tensions over key producer Iran and worries over stretched global crude supplies, traders said.

Prices had dived below $140 on Monday as a result of a then strengthening US currency, underlining the extreme volatility that the market is currently experiencing.—AFP