Oil rises past $105-a-barrel mark

Oil prices are unlikely to fall in coming weeks, analysts say

The price of crude oil has set a new record in New York, climbing to $105.1 a barrel as the US dollar declined in value and amid concerns about supply.

New York's light sweet crude fell back after setting the record, but analysts said price pressures remained.

The weakness of the dollar is pushing prices up because producers charge more to make up for the currency's slide.

And earlier this week, oil producers' group Opec decided not to raise output, despite calls from the US for action.

Stockpile shock

US President George W Bush has said that the high prices are hurting the world's largest economy.

The US is the world's largest consumer of oil.

On Wednesday, the US Department of Energy said stockpiles of crude oil fell by 3.1m barrels last week.

That shocked traders who were expecting a build-up of US oil reserves.