NEW YORK — Oil prices are surging this month on fresh evidence the economy is pulling itself out of recession.
A barrel of crude has jumped roughly $10 in four weeks, though some early gains were erased Friday as traders focused more on growing petroleum supplies.
Benchmark crude for September delivery gave up $1.01 to settle at $70.93 a barrel on the New York Mercantile Exchange.
Meanwhile, retail gas prices have climbed every day since July 22. They added nearly 2 cents a gallon overnight to a new national average of $2.628 a gallon, according to auto club AAA, Wright Express and Oil Price Information Service. They're closing in on the summer peak of $2.69 a gallon.
A gallon of regular unleaded is still 3.5 cents cheaper than last month and $1.221 cheaper than a year ago.
Energy prices naturally rise with positive economic news. But crude has moved steadily higher even as the amount of oil placed into storage grows, appearing to defy traditional rules of supply and demand.
Crude has provided returns to investors who have pulled their investments in the U.S. dollar, and that has led to higher energy prices all around despite dismal demand. Oil prices have doubled in price from January to June.
