US crude for July delivery was trading US$2.82 a barrel higher at US$131.80 in late London trade, just off a new high of US$132.08.

Oil for delivery in 2016 rose above US$142 a barrel.

US crude oil stockpiles plunged last week amid a slide in imports and a rise in demand from domestic refiners, the latest report from the US Energy Information Administration showed.

Commercial crude stocks slid 5.4 million barrels to 320.4 million, bringing them 6.5 percent below last year. The drop came as imports fell by 696,000 barrels per day to 9.24 million and demand for crude from refiners rose 29,000 bpd to 15.08 million bpd, according to the report.

In Paris, fishermen clashed with riot police amid mounting protests over rising fuel costs that have disrupted operations at ports and oil terminals along the French coast.

Fishermen tossed flares hitting two officers and police responded with tear gas during the brief clashes near the Agriculture Ministry.

In Jakarta, there were angry protests over the soaring cost of food and a planned fuel price hike, as an economic "crisis" overshadowed the 10th anniversary of former dictator Suharto's fall.

Demonstrators across the country slammed the government's plans to raise the subsidized cost of fuel by an average 28.7 percent to protect the budget from record world oil prices.

Indonesia has experienced almost daily protests against the fuel price plans in recent weeks, but tensions were higher yesterday.

Meanwhile petrol stations in at least five Chinese provinces limited sales of diesel, as oil firms divert supply from the price-capped retail sector to avoid losses in the face of soaring crude prices.

A resurfacing of a diesel shortage that had caused widespread rationing last fall is likely to spook Beijing, keen to avoid long lines at petrol stations before the August Olympics. AGENCIES