Oil tops $120 a barrel

Oil tops $120 a barrel

Crude oil futures leaped to a new all-time high above $120 a barrel as supply concerns grew and the U.S. dollar weakened against the euro. Retail gasoline and diesel prices eased over the weekend, although pricier oil threatens to push them higher again.

Light, sweet crude for June delivery jumped to a new trading record of $120.36 a barrel on the New York Mercantile Exchange before retreating to settle up $3.65 at a record $119.97.

Prices were supported by a number of perceived threats to supply overseas. Kurdish rebels warned they could launch suicide attacks against U.S. interests after Turkey bombed rebel bases in Iraq. In Nigeria, a Royal Dutch Shell PLC spokesman said attackers shut down production after hitting an oil facility at the company’s joint venture in the south of the country. And Iranian Supreme Leader Ayatollah Ali Khamenei said the key oil producer would not bow to international pressure and give up its nuclear program.

At the pump, U.S. regular gas slipped to an average of $3.611 a gallon on Monday, down 1.1 cents from Friday, according to AAA and the Oil Price Information Service.

Natural gas futures rose 40.1 cents to settle at $11.178 per 1,000 cubic feet on the Nymex. June gasoline futures rose 8.65 cents to settle at $3.0529 a gallon, and June heating oil futures rose 8.78 cents to settle at $3.3065 a gallon.

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