Oil Hits $105 a Barrel

Thanks in no small part to concerns that Iran will seriously reduce amount of oil sent to Europe, oil prices are at the highest levels since May.

According to the Washington Post, Iran made the announcement over the weekend sales of oil to Britain and France will stop in retaliation to an oil embargo planned by Europe for the summer. How much of an impact remains to be seen because Britain and France buy a very small amount of oil from Iran. Still, there heads being raised across the globe as analysts wonder is Iran will take a similar stance elsewhere.

Benchmark crude oil rose by $1.67 to $105.27 per barrel in New York. On the other side of the Atlantic meanwhile, Brent crude rose 44 cents to $120.49 in London.

In America, analysts are telling consumers to expect gas to reach $4 a gallon by spring, according to Time. In fact, prices have already hit that amount in three states (California, Alaska and Hawaii).