The Federal Trade Commission (FTC) has proposed US government rules to fight manipulation in the oil market, where prices hit a record $147 a barrel last month. As speculation and price manipulation has been pointed out as major factors behind the steep rise in oil price new harder laws and regulations are proposed by various groups.

The commission, under pressure to investigate possible manipulation of gasoline and other fuel prices, said its rules would bar any fraud or deceit in the purchase or sale of crude, gasoline or other petroleum product.

"Fraudulent or deceptive acts, including false reporting to private reporting services or misleading announcements by refineries, pipelines or investment banks, may be covered by the proposed rule." said the commission.

Read more: Upstream Online [1]