Oil above US$83

LONDON – Oil moved back above US$83 a barrel on Friday, within sight of all-time highs, on mounting tensions between Turkey and northern Iraq.

Prices jumped after Turkish PKK rebels said they would move back into Turkey from northern Iraq, highlighting tensions in a region that pumps a third of the world’s oil. US crude rose 20 cents to US$82,28 a barrel by 1140 GMT.The previous day it traded as high as US$83,76, close to a record US$83,90 struck on Sept 20.London Brent crude rose 18 cents to US$80,33.Rebels from the outlawed Kurdistan Workers Party (PKK), fighting for an independent homeland in southeastern Turkey, also warned they would target Turkey’s ruling AK Party and main opposition CHP.Traders said the PKK statements had pushed prices higher.Oil has held mostly above US$80 a barrel for the past month, reflecting worries about shrinking fuel supplies that on Thursday sent US heating oil prices to a new peak.”I do think fundamentals are supportive of where the price is,” said Tony Dolphin, director of economics and strategy at Henderson Global Investors.Nampa-ReutersUS crude rose 20 cents to US$82,28 a barrel by 1140 GMT.The previous day it traded as high as US$83,76, close to a record US$83,90 struck on Sept 20.London Brent crude rose 18 cents to US$80,33.Rebels from the outlawed Kurdistan Workers Party (PKK), fighting for an independent homeland in southeastern Turkey, also warned they would target Turkey’s ruling AK Party and main opposition CHP.Traders said the PKK statements had pushed prices higher.Oil has held mostly above US$80 a barrel for the past month, reflecting worries about shrinking fuel supplies that on Thursday sent US heating oil prices to a new peak.”I do think fundamentals are supportive of where the price is,” said Tony Dolphin, director of economics and strategy at Henderson Global Investors.Nampa-Reuters