WASHINGTON, D.C. ? Oil prices settled at a record high above $70 a barrel Monday, rising more than $1 on concerns about supply disruptions in Nigeria and diplomatic tensions between the West and Iran over Tehran’s nuclear ambitions.

So long as these and other geopolitical issues persist, analysts said it will be difficult for prices to fall too far – unless there is a significant drop-off in demand, which has not materialized. In the short-term, oil prices could climb above $75, they said.

“Where the top is is pretty hard to say at this point,” said New York-based oil broker Tom Bentz.

The nationwide average for regular unleaded is now $2.78 per gallon, or 55 cents higher than last year, according to the Energy Department.

Despite the high price of motor fuel, demand continues to rise, albeit at a slower rate. Still, economists say the country’s financial engine remains strong, in large part because consumer spending, which accounts for two-thirds of total economic growth, has so far remained strong.