Oil Up Near Record 123.93 on Signs of Stronger U.S. Demand
May 7, 2008 | 7:48 pm | by t-blender |Rate It:
May 8 (Bloomberg) — Crude oil was little changed near a record $123.93 a barrel in New York after a government report showed that U.S. worker productivity accelerated, signaling stronger economic growth and increased energy demand.
Oil almost doubled in the past year and may rise further if the economy improves in the U.S., the world’s biggest energy user. Productivity climbed at a 2.2 percent annual rate in the first quarter after a 1.8 percent gain in the previous three months, the Labor Department said yesterday.
The report “shows that maybe our economy is starting to strengthen here,” said Gordon Elliott, risk management specialist at FC Stone LLC in St. Louis Park, Minnesota. “It’s hard to believe we could get more demand at these prices, but it could be” the case.
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