Crude futures surged sharply and broke the 140 U.S. dollars level for the first time on Thursday (June 26)聽as OPEC predicted oil prices to rise and Libya threatened to cut production.
Light, sweet crude for August delivery rose 5.09 dollars to settle at a record 139.64 dollars a barrel on the New York Mercantile Exchange. Prices continued to rise in the after hour electronic trading and hit 140.39 dollars a barrel, surpassing the previous intraday trading record of 139.89 dollars a barrel on June 16.
OPEC President Chakib Khelil said Thursday he believes oil prices could rise to between 150 dollars a barrel and 170 dollars a barrel this summer. Khelil's forecast caused a jump in prices.
Meanwhile, Libya national oil company said the country may curb output because the oil market is well supplied, according to news reports of France 24. A falling dollar also helped to push up the crude.
In London, Brent crude for August delivery rose 5.5 dollars to settle at 139.83 dollars a barrel on the ICE Futures Exchange after touching a record of 140.56 dollars a barrel.
