Oil rises to $104 a barrel

The price of oil flirted with two-and-a-half-year highs amid fresh concerns about tensions in the Middle East.

Ben Harrington
Telegraph

Brent crude rose above $104 a barrel after Avigdor Lieberman, the Israeli foreign minister, said two Iranian warships planned to sail through the Suez canal en route to Syria.

Mr Lieberman called the move the latest “provocation” by Iran, which Israel sees a major threat due to the OPEC nation’s nuclear arms programme.

In January, unrest in Egypt helped push Brent over $100 a barrel. The latest move by Iran comes five days after Egyptian president Hosni Mubarak stepped down and Israeli leaders have expressed concerns that Iran may exploit the period of transition.

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