Analysts predict $100 per barrel crude oil

Crude oil prices dropped on Thursday as investors took profits after Wednesday’s record prices.

Despite the declines, some analysts are predicting that a barrel of crude oil will reach the $100 level by the end of this week or early next week, and some traders are now betting on $125 per barrel crude.

Four months ago there was only one call option contract for $125 per barrel oil, but as of Monday there were over 2,500 such contracts in existence.

December contracts for West Texas Intermediate crude dropped $1.07 to $93.47 per barrel on the New York Mercantile Exchange, while Brent crude was down 91 cents to $89.72 per barrel on the ICE Futures Europe exchange in London after hitting a new high of $91.71 per barrel during the session.

Nymex December gasoline was 1 cent higher to $2.34 per gallon on the session, while December heating oil dropped 2 cents to $2.51 per gallon.

December natural gas jumped 30 cents to $8.63 per million British thermal units.