re: oil hits 69.80 a barrel and then some
Actually it's going above US$70
United States crude oil futures surged more than $US4 in opening trade on Monday, hitting a record high above $US70 a barrel after Hurricane Katrina forced Gulf of Mexico producers to shut in more than a third of their output.
Katrina, which strengthened into a rare, maximum power category five hurricane as it spun through key oil and gas fields toward New Orleans, shutting down oil production.
It also forced the closure of seven refineries and a major US crude import terminal.
Crude oil futures on the New York Mercantile Exchange surged as high as $US70.80 a barrel, up $US4.67 a barrel, as traders feared lasting damage could further strain an industry that has struggled to keep up with demand for two years.
