1:40PM EST: U.S. crude futures briefly crossed the critical $100 mark Wednesday, the first such move since October 2008, as escalating violence in Libya shook crude markets and extended supply worries.
In London, Brent crude futures rallied above $110 a barrel, posting the biggest three-day percentage gain in a year.
Between 300,000 and 400,000 barrels per day of Libyan output — up to 25 percent — has been shut down, according to Reuters calculations, marking the first cut in oil supplies related to the recent wave of anti-government unrest in North Africa and the Middle East.
12:25PM EST: Oil prices rose past $99 a barrel on Wednesday as forces loyal to Libya’s Moammar Gadhafi clashed with protesters expanding their control over parts of the country.
The rebellion in Libya, which has the most oil reserves in Africa, follows uprisings in other North African countries that have ousted leaders in Tunisia and Egypt. About one-fifth of Libya’s oil production, around 367,000 barrels per day, appears to have been shut down as companies pull workers and their families from the region. Analysts expect that amount could rise further, especially if unrest affects oil production in Saudi Arabia and Iran.
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