Oil prices spiked a new trading high Tuesday, sweeping past $129 a barrel as supply concerns intensified the momentum buying that has lifted crude deeper into record territory.
The June contract for light, sweet crude traded as high as $129.31 in electronic pre-opening trading on the New York Mercantile Exchange before settling back to $128.75, up $1.70.
Prices are currently being driven higher by supply concerns. This latest surge comes after OPEC’s president was quoted as saying his organization won’t increase its output before its next meeting in September.
The imminent expiration of the June contract is adding to the volatility. The contract will end at the close of trading Tuesday.
