Oil prices move lower after Friday's rig-powered surge

Oil prices move lower after Friday's rig-powered surge

Brent crude futures LCOc1 slipped 54 cents, or 0.8 percent, to settle at $64.95 per barrel.

Oil went above $60 a barrel in February and was as high as $67 per barrel in December of 2017.

Oil held gains above $62 a barrel after US crude explorers curtailed activity for the first time since January.

While the producer group complied with a pledge to curb output and ease a glut in 2017, USA flows that are gaining a bigger slice of the prized Asian market may prompt some nations to boost supplies, said Warren Patterson, a commodities strategist at the Dutch bank. ING forecasts Brent at $57 in the second half of 2018.

Investor concerns about rising U. S.

Crude's rebound since previous year is encouraging American drillers to pump even as they make efforts to be disciplined on spending, Patterson said.

Oil markets climbed on Monday, March 12, on the back of a drop in the number of United States rigs drilling for more production and as the US economy continued to create jobs, which industry hopes will drive higher fuel demand, NAN reports.

"Nothing really stood out", said Goncalves, head of USA rates strategy at Nomura Securities International in New York."You can consider that a good thing, given this year will see more and more Treasuries issued".

Hedge funds and money managers pared their bullish wagers on US crude oil, with long positions falling last week for the first time in three weeks.

"Our view is still that we have more downside oil prices ahead of us in the short term", SEB said in a note.

U.S. crude production from major shale formations is expected to rise by 131,000 bpd in April from the previous month to a record 6.95 million bpd, the U.S. Energy Information Administration (EIA) said in a monthly report on Monday. Asia is the biggest buyer of the supplies.

U. S. Stocks closed mixed, with the S&P 500 and Dow Jones Industrial Average ending in the red, while the Nasdaq Composite added about 28 points.

US crude oil production soared past 10 million barrels per day (bpd) in late 2017, overtaking output by top exporter Saudi Arabia.

Asia is "a market that the Middle East does not really want to give up", ING's Patterson said. "The deal will still officially be in place, but once we get into 2019 there's no chance that we will see some sort of deal".