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Oil prices rose further above US$70 a barrel yesterday on worries over Iran's nuclear dispute with the West and thin petrol stockpiles in the United States ahead of peak summer demand.
London Brent crude was up US30c at US$70.90 a barrel, a fresh nine-month high. US crude traded up US10c at US$65.87.
Prices climbed after nine US warships put on a show of force off Iran's coast, coming at the same time as a United Nations report that said Tehran had expanded its nuclear programme.
"Iran has come back to the forefront and it's definitely having an impact," said an oil broker in Tokyo.
US officials said the navy buildup was the largest daytime assembly of ships since the Iraq war began in 2003, adding Iran had not been notified of plans to sail the ships through the Strait of Hormuz, a major artery for global oil shipments.
- REUTERS
