Oil prices soar above $129 a barrel

21 May 2008

Oil prices rocketed to more than $129 (£65.6) per barrel in New York trading this week and caused the US stock market to stumble.

The global price of oil was pushed up yet again to record levels after oil producers' cartel Opec revealed that it has no plans to boost production before its September meeting.

Worldwide concerns about the stability of supplies are helping to push up the cost of home heating oil, which has doubled in the space of a year.

Wall Street was rattled by continuing oil price rises and worries over consumer inflation, with shares faltering in Tuesday trading, as a barrel of light, sweet crude on the New York Mercantile Exchange reached an all-time high of $129.60.

London Brent crude increased to $127.84 per barrel as continuing tensions between Iran and the US, protests by French fisherman against rising fuel costs and predictions that Chinese demand will rise following the recent earthquake pushed up prices.

Click to view home heating oil price trends.