Order Stuffs

Oil prices swung back above $100 a barrel Tuesday following a precipitous plunge a day earlier, with a growing consensus among investors that Congress will resurrect a failed US financial bailout plan.

Light, sweet crude for November delivery rose $4.27 to settle at $100.64 a barrel on the New York Mercantile Exchange, after earlier rising as high as $101.40.

On Monday, prices fell $10.52 to settle at $96.37 — the second largest drop ever in dollar terms — after House legislators rejected the $700 billion bailout, stunning investors and raising fears of a long economic crisis that could dramatically curb global energy demand. The Dow Jones industrial average plunged 777 points, its largest one-day point decline ever.

Crude has fallen about $20, or 17 percent, in the last eight days.

Some recovery was to be expected following Monday’s fall, and analysts said prices will likely remain in a holding pattern until the fate of the financial rescue plan is determined. Lawmakers were expected to reconvene in Washington on Thursday, though it’s unclear if they will attempt another vote on the bailout.

Crude’s rise came despite a stronger dollar. Investors often buy crude futures as a hedge against a weakening dollar and inflation, and sell when the dollar strengthens.

On Tuesday, the euro bought $1.4059 compared with $1.4472 late Monday in New York.

In other Nymex trading, heating oil futures rose 8.22 cents to $2.8707 a gallon, while gasoline prices rose 9.8 cents to $2.49 a gallon. Natural gas futures rose 22.9 cents to $7.450 per 1,000 cubic feet.

In London, November Brent crude rose $4.59 to $98.57 a barrel on the ICE Futures exchange.