The price of New York oil jumped Wednesday above 75 dollars per barrel, hitting the highest level so far this year on the back of the tumbling dollar.

New York's main contract, light sweet crude for November delivery soared to a close of 75.18 dollars per barrel, a level last seen around October last year when prices were at around 78 dollars.

The contract briefly climbed Wednesday to 75.40 dollars before scaling back.

London's Brent North Sea crude for November delivery advanced 70 cents to close at 73.10 dollars a barrel.

"The strength of the oil market can be explained almost entirely by the weaker dollar and rise" on Wall Street, said Ellis Eckland, an independent analyst.

The Dow Jones blue-chip index Wednesday rose above 10,000 points for the first time since October 2008 as US stocks powered higher.

As US shares climbed, the dollar slumped to a 14-month low against the euro, also pushing the price of gold to a record high.

A struggling greenback tends to boost crude prices particularly because the dollar-denominated commodity becomes cheaper for foreign buyers holding stronger currencies.

Expectations that the dollar will continue to languish against the euro and other major currencies will continue to boost the crude market, analysts said.

"We expect a further fall of the US currency over the next two weeks," said Dariusz Kowalczyk, chief investment strategist with SJS Markets financial services firm in Hong Kong.

With little reprieve seen for the dollar, investors have sought to protect themselves against the greenback's fall by buying hard assets such as oil and other commodities.

Analyst Phil Flynn of PFG Best said China's growth prospects also drove up oil prices.

China's exports fell at the slowest pace in nine months in September, customs data in Beijing showed Wednesday, indicating demand for Chinese goods was improving and helping the government sustain the recovery.

The better-than-expected data -- which sent stocks up in Shanghai -- was positive for the world's third-largest economy and may help give the government impetus to next year start unwinding massive stimulus measures, said analysts.

"This type of activity seems to suggest that China?s economic growth is heating up even more," Flynn said.

Demand for oil has plunged amid the world economic downturn, the most severe since the 1930s. Oil prices tumbled from historic highs of more than 147 dollars in July 2008 to about 32 dollars in December because of the global recession but have since won back ground on recovery hopes.