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Oil on the rise as dollar falls
9 Sep 2009The weakening dollar sent the oil price north again today ahead of a key meeting of Opec, the Saudi-led cartel of major oil producing nations.
The price of New York crude was hovering around the $71 a barrel level in overnight trading as the dollar continued its slide back from its rally this year, losing 2 cents against the pound yesterday.
Crude leapt to as high as $75 a barrel during August and oil traders are saying that if the dollar continues to weaken and oil breaks through $74, then the next stop in the coming weeks could be $80 or even $85 a barrel.
When Opec ministers meet in Vienna this evening after a day of Ramadan fasting, it is believed they are likely to reiterate current production quotas.
They will also probably tighten up on those member countries which have not been complying rigorously enough with the restrictions on production.
