•July ICE Brent futures touched the $129/barrel mark for the first time during European morning trading on Wednesday, while July NYMEX crude pierced the $130/b mark ahead of the weekly US petroleum data release, on the back of a weaker US dollar as well as bullish German economic data, sources said.

•In addition, fresh fund money seems to have come into the market, attracted by record-high flat prices despite weakening spreads especially for ICE Brent and gasoil, sources added.

•"It seems we have some more funds injections into the market. New record highs just seem to give us a new target to aim for...meanwhile the spreads are falling out of bed, clearly they are moving in the opposite direction," a London-based broker said. "Although you would never, you could almost say you could place your mortgage on it," the broker added.

•Looking at US stock data expectations, analysts surveyed by Platts forecast builds throughout the barrel, with crude seen up 900,000 barrels, while gasoline and distillates are expected to have increased by 500,000 and 1.45 million barrels, respectively.

Updated: May 21, 2008