U.S. Woes Mounting

6 June 2008

The price of oil has made a record jump to nearly $139 a barrel, amid reports it could reach $150 by July because of rising demand.

Crude oil in New York gained more than $10 to hit $138.54.

The spike in oil prices coincided with a dollar slump, plummeting share prices on Wall Street and U.S. unemployment suffering its biggest rise in 20 years.

Also, with further pressure on the U.S. banking system, it was reported that one banking establishment had already collapsed.

Light crude set a high of $139.12 in after-hours trading on the New York Mercantile Exchange after hitting $138.54 at the regular session.

Crude oil hit a record high of $135 a barrel last month.

The rising cost of the necessities for U.S. consumers, has further shown signs of further crippling and all ready imploding economy.