Oil futures ticked lower early Monday, extending last week's losses as Libyan crude exports probably increased this month after rebels agreed to reopen two oil ports.
The rebound we saw Friday after data showed strong jobs growth in the US was overshadowed with the start of the week by easing concerns on reports over Libya's oil ports, which have been blocked for eight months, hatling oil fields and ports in the North African exporter.
The rebels has agreed to surrender two of four oil ports under their control to the goverment. The news helped take some supply worries off the markets that helped push prices as high as $112.
The re-opening of the Libyan ports may increase cude exports by at least 180 thousand barrel a day this month.
Meanwhile, investors are bracing for deails on the volume of Libyan exports, while weighing the latest US employment report which signaled the economy was adding steam after a setback caused by bad weather.
Payrolls increased 192 thousand in March, trailing expectations for jobs growth of 200 thousand. February's figure was revised up to 197 thousand froma reviously reported 175 thousand.
The US unemployment rate remaiend unchanged at 6.7% comapred analysts' median forecast of 6.6%.
As of 03:22 a.m. ET:
- WTI Crude for May delivery was dwon 0.68% at $100.46 a barrel
- Brent Crude was down 1.21% at $105.43 a barrel
The jobs report disappointment the market actually, but losses were limited this monring on hopes that China will introduce economic stimulus measures soon to tackle slowing growth.
The US and China are the world's two-largest oil consuming nations.