Oil, dollar lower after bin Laden death

NEW YORK: Crude oil hit a new price peak in New York trade Monday before easing lower, while the dollar lost ground to the euro, as the death of Osama bin Laden had little sustained impact on markets.

With London financial markets closed for the May Day holiday, the US benchmark West Texas Intermediate for June delivery reached $114.83 a barrel before dropping back a dollar. On Friday it closed at $113.93.

It was the highest level since September 2008, when prices were plunging from their all-time record above $147 a barrel set in July.

Oil was lower earlier in Asian trade following the late-Sunday news of the death of Al-Qaeda chief bin Laden, who was killed Sunday in a covert strike by US forces in Pakistan.

The dollar meanwhile traded lower after briefly strengthening in the wake of the news that the long-sought architect of the September 11, 2001 terror attacks in the United States was dead.

The euro hit $1.4902, before drifting back to $1.4874 at 1715 GMT, up from $1.4808 late Friday. It was a 16-month-low for the greenback as the US sustains its loose money policies and economic data continued to suggest a slowing recovery. (AFP)