Oil peaks ahead of OPEC meeting

Oil prices have risen to more than $80 a barrel as ministers from the world's 12 largest petroleum-producing countries meet in Vienna.

They climbed to over $82 a barrel on New York’s Mercantile Exchange(NYMEX) while London’s Brent Crude rose to over $80 a barrel ahead of the meeting of the Organisation of Petroleum Exporting Countries (OPEC).

Oil prices have fluctuated between $70 and $80 a barrel for the last nine months as global economies struggle to recover from the economic downturn.

The cartel is expected to call for stricter adherence to current oil quotas. But Saudi Arabia’s Oil Minister, Ali Naimi gave a reassurance they would meet customer demand. “We will never allow [the oil market to] get to the point where it puts too much pressure on prices," he said.

Saudi Arabia, OPEC’s leading member, is producing 8.15 million to 8.2 million barrels a day, which is 100,000 barrels more than its production quota.

David Moore an oil analyst for the Commonwealth Bank of Australia, told Reuters: " OPEC, expectations that it will leave production targets unchanged are now well factored in prices, so the market will place focus more on the weekly U.S. inventory report instead."

Mr. Moore added: “Oil prices continue to be supported by the soft tone of the U.S. dollar, while the industry data showing a fall in gasoline is also somewhat supportive."