Oil surges to record $65 a barrel
NEW YORK (Reuters) - Oil prices surged nearly two dollars on Wednesday after a U.S. government report rekindled fears that resilient demand from summer drivers and a spate of refinery outages could trigger a gasoline supply crunch.And don't forget, we are one terrorist attack on the Saudi oil fields away from rationed $6.00 a gallon gasoline.
The gains came against the backdrop of rising tensions in the Middle East after the United States temporarily closed its diplomatic missions in Saudi Arabia this week due to the threat of attacks by militants.
U.S. light sweet crude futures soared $1.93 to hit $65.00 a barrel, the highest on record, before settling at $64.90. London Brent jumped $2.08 to new peak of $64.06 a barrel, before settling at $63.99.
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