Oil prices eased in Asia on Monday as an increase in US drilling activity and a strong dollar reversed gains from last week’s better-than-forecast US jobs report. The commodity eked out modest gains on Friday after data showed the world’s top economy created 287,000 jobs in June following a dismal rise in May.
However, the gains-which were small compared to a near five per cent drop the day before were wiped out today as the number of active US drilling rigs, a barometer of future output, rose by 10 to a 12-week high of 351 last week, the fifth gain in six weeks. At about 1215 IST, US benchmark West Texas Intermediate was down 40 cents, or 0.88 per cent, at $45.01 while Brent fell 36 cents, or 0.77 per cent, to $46.40.