In anticipation that the U.S. Federal Reserve may cut interest rates next week, the dollar hit record lows against the euro and a basket of currencies Friday.
Moves by central banks to cut interest rates and pump billions of dollars into financial markets to ease a credit crunch have added fuel to oil's rally.
Oil's drive to record highs has stirred concern from consumer governments, and the administration of President Bush said Friday oil prices were "way too high."
Analysts say the wider economic problems may be dragging down demand in the giant U.S. market, while there are some signs of a growth slowdown in China, the world's second largest consumer.
China's apparent oil demand grew at the slowest rate in 20 months in September, up just 0.3 percent from a year earlier. Despite worries from big oil importers, members of the Organization of Petroleum Exporting Countries have said they are unlikely to hike production at a meeting next month in Saudi Arabia.
The cartel has agreed to increase output by 500,000 barrels per day starting Nov. 1, and members insist prices are not being driven by a supply shortfall.
Data from Lloyd's Marine Intelligence Unit showed OPEC's oil exports, excluding Angola, jumped 1 million bpd in the first two weeks of October versus the last two weeks of September.