Oil has surged back to near-record highs amid predictions that prices could reach 150 dollars a barrel by early July.
Crude leapt more than six dollars to the 134 dollar a barrel mark - within sight of the 135.09 dollar high seen two weeks ago - promising more forecourt misery for motorists.
The price had been falling this week but signals from the European Central Bank that interest rates may have to rise to tackle rampant inflation strengthened the euro against the dollar and pushed up oil, which is seen as a safe haven against dollar weakness.
Investment bank Morgan Stanley added to the pressure after analyst Ole Slorer said he expected a "short-term spike in oil prices" to 150 dollars a barrel by July 4 on the back of rising demand in Asia.
PA VIA GOOGLE
134.24
6.45 (+5.05%)
Crude leapt more than six dollars to the 134 dollar a barrel mark - within sight of the 135.09 dollar high seen two weeks ago - promising more forecourt misery for motorists.
The price had been falling this week but signals from the European Central Bank that interest rates may have to rise to tackle rampant inflation strengthened the euro against the dollar and pushed up oil, which is seen as a safe haven against dollar weakness.
Investment bank Morgan Stanley added to the pressure after analyst Ole Slorer said he expected a "short-term spike in oil prices" to 150 dollars a barrel by July 4 on the back of rising demand in Asia.
PA VIA GOOGLE
134.24
