Singapore, September 09:Oil prices hovered near USD 71 a barrel today in Asia after a weakening US dollar sent crude soaring overnight.
Benchmark crude for October delivery was up 2 cents at USD 71.12 a barrel at midday Singapore time in electronic trading on the New York Mercantile Exchange.
Yesterday, the contract gained USD 3.08 to settle at USD 71.10 as the dollar fell to a low for the year against the euro and gold prices surpassed USD 1,000 an ounce for the first time since February.
Some investors buy oil, gold and other commodities as a hedge against a weakening dollar and inflation.
The euro was steady at USD 1.4488 in Asian trading while the dollar edged up to 92.32 yen.
“People are selling dollars for higher-yielding currencies, and that’s driving oil higher,” said Christoffer Moltke-Leth, head of sales trading for Saxo Capital Markets in Singapore.
–PTI