LONDON -- Front month ICE Brent crude futures hit a fresh all-time high Friday, surpassing the $75 a barrel level in the process.
A combination of persistent geopolitical concerns and strong gasoline demand has triggered the latest record breaking rally that has seen Nymex crude futures also chalk up new records.
At 1215 GMT, The front-month August Brent contract on London's ICE Futures exchange was up 81 cents at $74.89 a barrel and just off its earlier high of $75.09/bbl.
The front month August crude contract on the New York Mercantile Exchange was trading 51 cents higher at $75.65/bbl, and just off its earlier record high of $75.78/bbl.
"I expect to see higher numbers next week...with headlines and technicals adding bullish support on all frontiers," said one oil broker in London.
Oil market speculators remain jittery about a precarious global geopolitical situation that includes Iran's protracted nuclear dispute, North Korean missile testing as well as ongoing unrest in the oil rich Niger Delta region.
Adding to the bullish case for oil is a picture of strong gasoline demand in the U.S.
The U.S. Department of Energy Thursday reported a gasoline demand level of 9.507 million barrels a day for the four weeks through June 30 which is 0.6% above the monthly record set in August 2005 of 9.454 million barrels a day.
"The DOE might have shown a small gasoline build, but overall demand of gasoline is exceptional despite higher gas prices. Consumer resilience is very much underestimated," said one oil broker.
