Oil rises to 122 dollars

LONDON  - Oil prices jumped back above 122 dollars on Thursday as traders tracked geopolitical tensions between the United States and Russia, a weak dollar and a large drop in US motor fuel reserves.

New York’s main contract, light sweet crude for delivery in October, soared more than six dollars to 122.02 dollars per barrel, levels last seen on August 4.

At the same time, London’s Brent North Sea crude for October delivery rallied a similar amount to a two-week high of $120.86, . “Prices have climbed ... on renewed geopolitical tensions between the US and Russia, with the latter voicing its displeasure over a US-Poland defence pact whereby the US can station defence shield (missiles) in Poland, much to Russia’s dislike,” said Barclays Capital analysts.