The Bhutto assassination also triggered a flight to less risky assets such as gold, which rose to a one-month high, and prompted a further drop in the dollar.
The dollar fell again on Friday as data showing a 9 percent decline in sales of new U.S. homes last month heightened concern about the economy, putting the greenback on track for its worst week in more than a year.
The falling dollar has pushed up prices for commodities denominated in the U.S. currency this year by raising the purchasing power of non-dollar nations and reducing the spending power of producer revenues.
Oil has rallied more than 58 percent since the start of the year, hitting a record $99.29 on Nov. 21, although the credit crisis and forecasts for above average temperatures this winter have raised concerns about U.S. demand.
Turkish raids on Kurdish guerrilla targets in northern Iraq have also supported prices by raising the risk to regional supply, although most of the OPEC nation's oil exports flow via its southern ports.