Investing.com - West Texas Intermediate oil futures pared losses during U.S. morning trade on Thursday, following the release of upbeat U.S. jobless claims data and as markets turned their focus to Friday's report on U.S. nonfarm payrolls.
On the New York Mercantile Exchange, crude oil for delivery in November traded at $90.25 a barrel during U.S. morning hours, down 48 cents from a closing price of $90.73 on Wednesday.
Nymex oil futures fell to a session low of $88.20 a barrel earlier, a level not seen since April 2013.
Futures were likely to find support at $87.68 a barrel, the low from April 22, 2013, and resistance at $92.96 a barrel, the high from October 1.
New York-traded oil prices came off the lowest levels of the session after the U.S. Department of Labor said in a report that the number of individuals filing for initial jobless benefits decreased by 8,000 last week to 287,000. Analysts had expected jobless claims to rise by 2,000 to 297,000 last week.
Investors now looked ahead to the release of the latest U.S. nonfarm payrolls report on Friday, for further indications on the strength of the recovery in the labor market.
Market analysts expect the data to show that the U.S. economy added 215,000 jobs in September, after a gain of 142,000 in August.
Elsewhere, on the ICE Futures Exchange in London, Brent oil for November delivery shed $1.44 to hit $92.76 a barrel.
London-traded Brent prices slid to $91.60 earlier in the session, the lowest level since June 2012 as concerns over abundant global supplies and worries over weakening demand drove prices lower.
Appetite for growth-linked assets weakened after a slew of disappointing manufacturing reports on Wednesday showed that factory activity in the U.S. slowed more than expected last month, Germany’s manufacturing sector slid into contraction territory for the first time in 14 months, while activity in China stalled.
Concerns over unrest in Hong Kong and a confirmed Ebola diagnosis in the U.S. also contributed to the risk-off mood.