Oil Prices Continue Longest Rising Streak

Oil prices have risen for a record 27 consecutive weeks.

The average price of gasoline was W1,559.6 per liter in the fifth week of January, up W4.3 from the previous week, according to data released by the Korea National Oil Corp. on Sunday (US$1=W1,085).

Oil prices have risen since late July last year, breaking the previous record of 26 weeks set in the period between October 2010 to April 2011.

The average diesel price rose to W1,354.5 per liter, up W5.5 from a week earlier, to extend its longest rising streak to 28 weeks.

The increase is in line with global prices, which rose to over US$70 per barrel in mid-January for the first time in three years due to increasing demand for petroleum products following the recovery of the global economy.

Another factor in the rise was the recent cut in production by major producers in the Organization of Petroleum Exporting Countries. Some international investment banks expect global oil prices to rise further to $80 per barrel this year.