WTI gains on higher equities, weak dollar

Crude oil prices were higher in New York on Monday, approaching the $80 per barrel level during the day.

The gains came on a weaker US dollar and on gains in most equities markets around the world.

November contracts for West Texas Intermediate crude were up $1.05 to $79.59 per barrel at about 5 minutes before the close of trade on the New York Mercantile Exchange, but by early afternoon New York time Brent crude had dropped 2 cents to $76.97 per barrel on the ICE Futures Europe exchange in London.

With November WTI contracts due to expire at the close of floor trade in New York on Tuesday, December contracts were up 18 cents to $79.20 per barrel.

Most analysts do not expect oil prices to rise above $80 per barrel and stay at that level at present, with some point out that recent gains have been on optimism rather than on fundamentals and that demand needs to improve for such permanent gains to occur.

Earlier, in morning trade in New York, Nymex November gasoline futures and December heating oil futures both traded even, at $1.98 per gallon and $2.06 per gallon respectively, while December natural gas added 3 cents to $5.74 per million British thermal units.