Oil set to hit $100 a barrel

OIL prices look set to top $100 per barrel as fears of a Turkish invasion of northern Iraq mount.

US dollar weakness, which saw the US currency hit new lows yesterday against the euro, are adding to the oil price pressure as speculators rush to buy oil as a hedge against the falling greenback.

Combined with dollar weakness, increasing geopolitical uncertainties and concerns about winter fuel supplies should see oil go above $100 a barrel in the US, analysts said.