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    02.10.2015 15:47 Oil prices decline on the on the weak U.S. labour market data

    Oil prices increased on the on the weak U.S. labour market data. According to the U.S. Labor Department, the U.S. economy added 142,000 jobs in September, missing expectations for a rise of 203,000 jobs, after a gain of 136,000 jobs in August. August's figure was revised down from a rise of 173,000 jobs.

     

     

    These figures indicate that the interest rate by the Fed this month is unlikely despite comments by some Fed officials.

     

     

    Concerns over the global oil oversupply also weighed on oil prices. According to the government data released on Friday, oil production in Russia rose to 10.74 million barrels per day (bpd) in September from 10.68 million bpd in August, adding to the global oil oversupply.

     

     

    Russian Finance Minister Anton Siluanov said on Friday that oil prices will not recover as fast as after the financial crisis in 2008-2009. He pointed that the ministry expect the oil price to be at $50 per barrel in 2016 and $52 per barrel in 2017.

     

     

    Earlier, oil prices were supported by concerns over the escalation of the conflict in Syria as Russia started air strikes against Islamic State targets in Syria on Wednesday.

     

     

    Market participants are awaiting the release of the number of active U.S. rigs later in the day. The oil driller Baker Hughes reported last Friday that the number of active U.S. rigs declined by 4 rigs to 640 last week. It was the fourth consecutive decrease.

     

     

    WTI crude oil for November delivery declined to $43.97 a barrel on the New York Mercantile Exchange.

     

     

    Brent crude oil for November climbed to $47.27 a barrel on ICE Futures Europe.

     

     


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