Stock markets in the US were closed on Monday due to the Presidents Day Holiday, but it did not stop global oil prices from soaring as a result of the unrest in the Middle East and North Africa.

Libya alone produces around 2 per cent of the world's supply and 1.6 million barrels a day will be at risk if a tribal leader follows through on a threat to cut exports to the West.

The leader of the Al-Zuwayya tribe in eastern Libya told Al Jazeera yesterday oil supplies would be cut if the situation did not improve.

Many oil companies operating in the country, including Royal Dutch Shell and France's Total, have begun to withdraw expatriate staff, indicating production at their sites may slow or even stop.

Oil analyst John Hall told Radio National the price is being driven by fear rather than a shortage of supply.

"Egypt has calmed down, Bahrain looks a little bit calmer at the moment and if Colonel Gaddafi has actually left Libya that could be a very, very good sign," he said.

"But again there is a lot of uncertainty. There is also uncertainty about Iran and one or two other countries, so the fear factor is building up."

In London, the benchmark price of Brent Crude rose 3 per cent to hit a two-and-a-half-year high of $US105.15 a barrel, but at 8.00am AEDT it had slipped back slightly to $US104.50.

In the US, the price of West Texas Crude oil rose 5 per cent, to reach $US90.22 a barrel.

In Singapore, the price of Tapis Crude, which dictates the Australian domestic price of fuel, rose to $US107.9 a barrel.

The price of spot gold also rose. At 8.00am AEDT it was up 1.4 per cent to $US1,406.40 an ounce.

Metals prices were mixed.

Copper slipped off its record highs, while aluminium and nickel reached record highs on talk of a shortfall in production at the world's biggest mine in South America, which belongs to mining giant Vale.

The political unrest in the Middle East gave European investors cause for concern, sending the region's stock markets into the red.

London's FTSE 100 hit a two-week closing low, down 68 points to 6,014.

UK bank's slipped off a recent 2.3 per cent rally in share price, Lloyds and Royal Bank of Scotland both shed 4 per cent.

Energy stocks have been hit on concern over the unrest in oil rich countries.

Shares in BP ended down 0.3 per cent, despite announcing a tie-up with India's largest oil company, Reliance, in a deal worth $US7.2 billion.

Germany's DAX lost 105 points to close at 7,321.

However, despite all the overseas turmoil, the Australian share market is poised to open marginally higher.

The ASX SPI 200 was up 3 points to 4,898 at 8.00am AEDT.

The Australian dollar was waning as investors lost their appetite for risk.

It was buying 100.9 US cents, 62.1 British pence, 73.7 euro cents and 83.8 Japanese yen.