Oil prices have approached $US105 a barrel in New York trading this week, and in doing so, pushed precious metals to new highs.

An announcement by OPEC indicating it would not increase oil output, coupled with decreasing US oil stocks and the weak greenback, saw prices for sweet light crude hit $104.64, before ending at $104.52 a barrel at close of trade on March 5.

Despite calls from oil consuming nations to increase its current daily output of 32 million barrels per day, OPEC has declined, with the organisation’s president, Algerian Oil Minister Chakib Kelil saying global price hikes are the result of mismanagement of the US economy.

Gold and silver prices followed the oil rally, both hitting new highs on March 5. April gold futures hit a high of $995.20 an ounce, while spot prices for March gold reached $992.70 on the COMEX division of the New York Mercantile Exchange.

March silver reached a 27-year high spot-month price of US$20.80 an ounce.

Meanwhile, the amount investment pouring into commodities has seen copper and tin reach new highs.

The London Metal Exchange March 5 closing price for June-delivery copper moved to US$8690 a tonne, a 22 month high. Tin reached a record of US$19,375 a tonne on March 4, and was still trading strongly at 19250 at close of trade on March 5.