Oil drifts above $71 as investors eye inflation

Oil prices hovered above $71 a barrel in Asia Friday amid concerns that massive US fiscal spending will spark inflation down the road, making oil and other commodities attractive hedges. Benchmark crude for July delivery rose 10 cents to $71.47 a barrel by midday Singapore time in electronic trading on the New York Mercantile Exchange. On Thursday, it rose 34 cents to settle at $71.37. Oil has lingered above $70 a barrel this week, near eight-month highs, on investor optimism the global economy is stabilizing from a severe slowdown. Traders are also buying crude, whose price has doubled since March, and other commodities as protection against possible inflation and a weaker dollar. "As an inflation hedge, oil is very popular right now," said Christoffer Moltke-Leth, head of sales trading for Saxo Capital Markets in Singapore. "The theme of the market is the inflation scare, and it's getting more pronounced. Crude is seen as a safe bet in this environment."
Defense Ministry to conduct exercise on Highway 35 on Sunday afternoon
Ukrainian drone attack on Moscow forces airport closure, Russia says
US condemns shooting of Colombian presidential candidate Miguel Uribe
Israeli man arrested in Albania after trying to leave with undeclared €194,000 - report
IDF Arabic Spokesperson Avichay Adraee issues evacuation notice to residents north of Gaza City
Fire breaks out in Haruvit Forest, not yet contained
France's Armed Forces Minister reaffirms no weapons being sold to Israel
IDF arrests PIJ Jenin Battalion commander during West Bank operation
Twenty live hostages, two undetermined, 33 dead, says Israeli source
North Korea internet hit by a major outage, analyst says