1 Oct 2008

Oil rises $US4 a barrel

3:34 pm on 1 October 2008

Oil rose by $US4.27 per barrel in price on Tuesday to $US100.64 on expectations that a bailout plan for US financial markets will eventually be approved.

Oil and other markets tumbled on Monday after the US House of Representatives rejected a $US700 billion bailout, by 228-205 votes.

US crude settled up $US4.27 to $US100.64 a barrel, after losing $US10.52 on Monday. London Brent crude traded up $US4.19 to settle at $US98.17 a barrel.

Oil is down from a record high of $US147.27 reached on 11 July on signs that high energy prices and the financial crisis have cut into demand.