Crude oil prices touched $79.05 per barrel, rising about half a percent on the New York Mercantile Exchange. This is the highest level it has reached since October 15 last year.
The rise is attributed to the confidence built up by growing global equities that the consumption of fuel will increase as the world undergoes an economic recovery. Stocks in the U.S. were up and this contributed to the growth in equities all through the major markets ranging from China to the U.K. Consumers looked to invest in commodities as an alternative to the weakened dollar.
According to commodity analysts, it would be good to purchase crude until equities stayed up and the dollar remained down. The dollar was at $1.4950 per euro, down 0.3 percent from the $1.4950 three days earlier.
Oil prices have gone up 24 percent in the past three months as investors were confident due to advancement in the equity markets and insisted on buying of commodities as the U.S. dollar slid further.
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