Oil prices rose a dollar to a new record near $61 Monday, driven by the resilience of world energy demand in the face of high fuel costs and worries about oil policy under Iran's new hardline president.
Economic resilience has encouraged speculators to test consumers' ability to absorb higher costs, with only a significant pull-back in demand from an economic slowdown seen likely to tame prices.
"The only cure for high prices is in fact high prices," said Nauman Barakat at brokers Refco in New York. "If you look at demand globally, high prices have had very little negative impact."
To be fair, the new "H3" (wow, even the name could kick yer ass) is smaller than its predecessors.