Oil at 5-week high above $102 a barrel

[xchrom]

http://hosted.ap.org/dynamic/stories/O/OIL_PRICES?SITE=AP&SECTION=HOME&TEMPLATE=DEFAULT&CTIME=2012-02-16-12-54-51

NEW YORK (AP) -- Tensions between Iran and the West continued to weigh on energy markets as oil rose to the highest level in five weeks on Thursday.

Benchmark West Texas Intermediate crude rose 45 cents to $102.24 in New York, while Brent crude, which is used to price foreign oil imported by U.S. refineries, rose $1.08 to $120.01 in London.

The price of WTI has risen about more than 3 percent since the start of the year. The increase in Brent has been even steeper, up nearly 12 percent.

Iran has been the center of attention in the Middle East - and the oil market - since November. It has threatened to cut off oil supplies to Europe to retaliate for an embargo that the EU plans to implement this summer.

[Nuclear Unicorn]

1. Just when hiring was picking-up.

We can't win for losing.

[ParkieDem]

2. It's all about the dollar

As long as the dollar is weak and interest rates are artificially low, oil prices are going to rise with every hint of a recovery.

[Spider Jerusalem]

3. Actually, no, it really isn't

oil is more like $120 a barrel.

Louisiana Light Sweet, $123: http://www.bloomberg.com/quote/USCRLLSS:IND

Alaska North Slope, $121: http://www.bloomberg.com/apps/quote?ticker=USCRANSW:IND

Southern Green Canyon deepwater, $119: http://www.bloomberg.com/quote/USCRSGCN:IND

Mars Blend, $118: http://www.bloomberg.com/quote/USCRMARS:IND

Eugene Island crude, $120: http://www.bloomberg.com/quote/USCREUGI:IND

All of these are US grades of crude oil. Every grade of crude oil produced in the US is trading around $120...EXCEPT for WTI. Pretty much every grade of crude oil produced outside the US is trading at around $120 a barrel. Therefore the actual price of oil is around $20 more per barrel than it's reported as.