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World oil prices approach $82

Oil prices stretched towards 82 dollars per barrel on Tuesday, on the back of buoyant market sentiment, the weak dollar and hurricane concerns in the US Gulf of Mexico, analysts said.

New York's main contract, light sweet crude for delivery in September, gained 50 cents to 81.84 dollars a barrel.

Brent North Sea crude for September added 70 cents to 81.52 dollars in late morning London deals.

Oil had surged past 81 dollars on Monday, with sentiment boosted by soaring global stock markets, strong bank results and solid US economic data.

Further support came from the weak greenback, which makes dollar-priced commodities cheaper for buyers using stronger currencies, and therefore tends to stimulate demand.

Prices also strengthened on fears about the ongoing hurricane season in the Gulf of Mexico, where many US energy installations are based.

"The combination of bullish stocks, a weak dollar and most notably the hurricane season has pushed the price of oil over 81 dollars a barrel," said analyst Rebecca Seabury at the Inenco energy consultancy in London.

"In the short term, the hurricane season is likely to continue spurring on bullish sentiment in the oil market, as potential storms threaten US and Mexican infrastructure.

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